Japan’s SBI Holdings and Startale Group have announced a joint trust-based Japanese yen stablecoin, JPYSC. The stablecoin will be issued by Shinsei Trust & Banking.
SBI Holdings is a leading fintech conglomerate in Japan with expertise in asset management and crypto services. Its involvement signals a strong institutional commitment to integrating blockchain with traditional finance.
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Why it matters:
- JPYSC can likely give institutional players a regulated yen-denominated settlement layer for tokenized assets and treasury operations.
- Trust bank backing separates JPYSC from unregulated stablecoins, reducing counterparty risk for enterprise users.
The details:
- JPYSC is structured as a Type III Electronic Payment Instrument under Japan’s regulatory framework.
- Startale Group will lead the technical development of JPYSC. In addition, SBI VC Trade will serve as the primary distribution partner.
- JPYSC targets enterprise use cases, including treasury operations, high-volume settlement, and cross-border transactions.
- SBI Holdings and Startale Group plan to launch JPYSC in Q2 2026, pending regulatory approvals.
The big picture:
- Japan’s Financial Services Agency (FSA) is shifting crypto oversight from the Payment Services Act to the stricter Financial Instruments and Exchange Act (FIEA). The move aims to strengthen investor protections and curb fraud.
- The country also plans to legalize crypto exchange-traded funds (ETFs) by 2028, signaling a broader institutional push.
- Thus, Japan’s approach balances digital payment innovation with strong regulatory oversight.
