Japan-based GMO-Z.com has reportedly received regulatory greenlight from the New York Department of Financial Services, to publicly provide Yen- and dollar-pegged stablecoins. 

Specifically, GMO-Z.com has reportedly been granted a charter to offer facilitating features for the U.S.-dollar and yen-backed stablecoins, operational locally. 

GMO’s charter reportedly functions as a limited liability trust firm, instead of a full bank, with the core difference being in permission to take care of deposits. 

Despite the standard procedure reportedly depicting a stablecoin operator is to have the power of holding reserves of the pegged asset, GMO’s charter grants power to hold a wide range of different types of deposits, not only exclusively to its ability “to issue, administer, and redeem” its stablecoins. 

The right to carry out the issuance for that kind of non-depository charters has reportedly been an issue with continuing disagreement, between state regulators such as the NYDFS, and US-based national banking regulators.

“We’re breaking ground with our move to issue the first regulated JPY-pegged stablecoin, which many see as a safe haven asset.” GMO president and CEO Ken Nakamura reportedly remarked. 

The NYDFS is reportedly the most prominent state financial regulator across the nation, and is also the one famous for its aggressive attitude. A regulatory greenlight from this entity to function reportedly usually translates to a pass to be operational throughout the entire country. 

The NYDFS has reportedly made numerous adjustments to its famous BitLicense, including a conditional format which pairs up freshly licensed businesses with the ones normally operational already.