GMO-Z.com Trust Company, the New York-based, regulated stablecoin subsidiary of Japanese Internet conglomerate GMO, has partnered with FX and crypto technology provider Shift Markets.
The group operates the largest retail forex broker, GMO CLICK Securities, which consistently has a large FX trading volume globally.
Shift Markets will help integrate the regulated Japanese Yen stablecoin (GYEN) and a USD stablecoin issued by GMO Trust (ZUSD) onto its global network of exchanges linked through their liquidity provider, NEXUS.
Shift Market’s liquidity arm, NEXUS, will make GMO Trust’s stablecoins available to 70+ exchange and buy-side institutional clients and supports a multitude of fiat currency pairs leveraging GYEN and ZUSD. The firm will also serve as a preferred institutional lender of the stablecoins on its NEXUS network.
This structure helps to further blend the digital asset space with FX trading markets, accessing a new segment of traders while also providing new capabilities, including hedging, arbitrage, trading, and settlement.
Due to regulatory restrictions, GYEN and ZUSD will not be offered to Japanese residents.
GMO Trust Obtains NY Crypto License for Yen-Backed Stablecoin
GMO Trust has secured a Limited Purpose Trust license, issued by the New York Department of Financial Services (NYDFS) for the distribution of a Yen backed stablecoin.
Shift Market’s infrastructure software provides white-label solutions for trading, payments, brokerage, token issuance and even compliance.
Ian McAfee, CEO of Shift Markets, commented: “Shift Markets is furthering its mission to drive financial-grade digital assets into the fabric of the digital assets and FX space, with regulated stablecoins attracting tier one financial firms into the markets. GMO’s significant presence in both traditional FX and digital asset industries, combined with our network of exchange partners and ability to pair these stablecoins against any major currency, opens up a new realm of possibilities for digital fiat.”
Kurt Bierbower, GMO Trust’s SVP of Business Development, said: “Partnering with an industry leading technology firm like Shift Markets enables GMO Trust to offer a fully-regulated digital version of JPY and USD to Shift Markets’ global network of exchange and institutional partners. Shift Markets’ cryptocurrency and FX clients will find significant value with the capability to trade and settle near instantaneously through blockchain rails as compared to traditional fiat networks.”
Tokyo-based GMO, founded in 1991, is a world leader in FX trading and has quickly become a reference in the cryptocurrency business as it operates an crypto exchange, a crypto mining operation, a payment gateway, and a regulated stablecoin. GMO Trust is based in New York and has obtained the crypto license to issue the first regulated JPY stablecoin “GYEN”.
Shift Markets’ proprietary exchange network, NEXUS, already provides connectivity to its 70+ exchange partners and has expanded to digital assets markets, including white-label cryptocurrency exchanges, payment gateways, and tokenization platforms. as institutional participants are rapidly coming to terms that crypto is here to stay.