What Is Gyen (GYEN)?

Gyen (GYEN) is a stablecoin pegged to another currency, YEN. The Japanese yen (YEN) that backs GYEN is safely stored in Federal Deposit Insurance Corporation (FDIC)-insured trustee bank accounts. The platform aims to reduce price volatility by tying the value of the traditional currency to the digital asset in a 1:1 ratio. As a result, this stablecoin seeks to be a reliable source of value, such as the Japanese yen (JPY), which is backed by JPY reserves. 

The GMO Trust issues the GYEN token with a mission to incorporate traditional finance into the digital era using blockchain technology. By using blockchain, the trust aims to create a stablecoin, a financial transfer solution free of volatility. GMO Internet Group (GMO) claims to be one of the most reputable and comprehensive providers of industry-leading internet services worldwide. GMO Trust, based in New York, issued the world’s first regulated JPY stablecoin.  

Further, the GMO Trust seeks to use GYEN to address concerns about unregulated stablecoins and stablecoins that don’t use traditional currencies as backing. The GYEN stablecoin, according to the protocol, offers a substantial leap in digital assets, using the existing financial system’s infrastructure, regulatory control, and currency stability while functioning at the speed and efficiency of the internet.

The GMO whitepaper states that digital assets are highly volatile. Generally, retail and institutional traders convert their holdings to stable value assets to protect them from this volatility. The GYEN token seeks to facilitate near-instant hedging of the digital asset to a traditional currency. Further, the token functions as a stablecoin since it makes the trading and redemption of conventional and digital assets more accessible. GYEN token seeks to cater to more users as more asset categories move to blockchain.

Furthermore, GYEN employs the ERC20 standard to eliminate human error. ERC20, a smart contract of the Ethereum blockchain, operates under a set of rules in a computer-programmed sequence. Smart contracts are just like regular contracts; however, instead of being drafted on paper, these contracts run in protocols on a blockchain. Thereby, smart contracts enable the execution of trustworthy transactions without the involvement of a third party. 

Accordingly, these transactions are traceable and irreversible, which means that the data’s integrity and the execution of computer-based procedures are protected. While GMO Trust acts as the issuance and redemption mechanism, the stablecoin transactions happen on the Ethereum network, eliminating the need for third-party financial facilitators. Thus, this blockchain seeks to publicly view account balances, token supply, and on-chain operations for the GYEN token.

Referred to as “digital JPY” according to the whitepaper, GYEN is the official ticker of this stablecoin. Users receive and redeem GYEN on a simple and straightforward interface that the GMO Trust seeks to provide. After the user deposits a corresponding traditional currency as collateral to their platform, GYEN tokens are released. Further, at the 1:1 exchange rate, the precise quantity of GYEN tokens is released after validating the deposit that the user makes. Likewise, the platform seeks to perform the redemption procedure similarly. That is, a conversion rate of 1:1 is applied for the validated deposits that seek to enable the users to redeem tokens.

History of Gyen (GYEN)

The GYEN token was launched by GMO-Z.com Trust company, established in 2020. The trust is a subsidiary of IT and financial conglomerate GMO Internet Group of Japan. The team behind the GYEN token includes Ken Nakamura (CEO), Tomohisa Onishi (COO), and others. In 2021, the GMO Trust released the official whitepaper of its stablecoins, GYEN and ZUSD.

How to Buy GYEN Tokens

The GYEN tokens can be purchased on Coinbase.com or the Coinbase app. It's safe, secure, and easy.