Japanese financial conglomerate SBI Holdings and Web3 firm Startale Group have signed a memorandum of understanding to develop a regulated Japanese yen stablecoin, targeting a launch in the second quarter of 2026. The initiative operates under Japan's new regulatory framework for digital currencies and aims to serve as a foundation for the country's transition to a token economy.
Shinsei Trust & Banking, a subsidiary of SBI Shinsei Bank, will be responsible for the issuance and redemption of the stablecoin. Circulation will be managed by SBI VC Trade, a licensed cryptocurrency exchange. According to Yoshitaka Kitao, chairman and president of SBI Holdings, the stablecoin is designed to provide digital financial services integrated with traditional finance, both domestically and globally.
The project is part of a broader push by Japanese financial institutions, supported by the Financial Services Agency's (FSA) Payment Innovation Project. This regulatory sandbox is already backing yen stablecoin pilots from three major banks: Mitsubishi UFJ Financial Group, Sumitomo Mitsui Banking Corp, and Mizuho Bank. The SBI-Startale stablecoin is positioned to complement these bank-led efforts.
The yen stablecoin is intended for use in cross-border settlement, tokenized equities, and real-world asset (RWA) flows. Startale will lead the technical development, including smart contracts and security infrastructure, while SBI will oversee compliance and institutional distribution channels.
This move expands SBI's stablecoin portfolio, which follows a multi-currency strategy. In March 2025, SBI VC Trade integrated Circle's USDC stablecoin. Furthermore, Ripple announced a partnership with SBI VC Trade in August 2025 to bring its RLUSD stablecoin to Japan in early 2026. The new yen stablecoin will work alongside Startale's existing dollar-denominated stablecoin, Startale USD (USDSC), to provide both dollar liquidity and regulated yen transaction capabilities.
