Tokyo-based financial powerhouse SBI Holdings has teamed up with Singapore’s blockchain company Startale Group to create a regulated Japanese yen-pegged stablecoin. This move represents a key milestone in Japan’s growing integration into global blockchain-based finance.
Digital Yen Set for 2026 Launch
SBI and Startale aim to roll out the new stablecoin by the second quarter of Japan’s fiscal 2026. The digital yen will be fully backed and compliant with Japan’s updated stablecoin laws, designed for both domestic and cross-border settlements. According to SBI’s chairman and president, Yoshitaka Kitao, the initiative will help bridge traditional finance and decentralized ecosystems, unlocking new opportunities in decentralized finance (DeFi) and programmable payments.
The stablecoin will serve as a secure, efficient medium for transactions, supporting tokenized asset flows and next-generation financial applications. It also aligns with Japan’s broader push to modernize its financial infrastructure through blockchain innovation.
Japan’s Expanding Stablecoin Framework
Japan’s Financial Services Agency (FSA) recently introduced a licensing regime for fiat-backed stablecoins. This framework paved the way for the first fully regulated yen stablecoin launched by fintech company JPYC in October 2025. SBI’s project builds on this progress, signaling the government’s commitment to making stablecoins a trusted tool for real-world finance rather than mere trading assets.
Strengthening Japan’s Role in Global Digital Finance
Startale brings extensive blockchain expertise, including its work on Sony’s Ethereum Layer-2 network, Soneium. Combined with SBI’s influence in banking, securities, and asset management, the partnership strengthens Japan’s position in the competitive global stablecoin market.
Analysts believe the yen-backed token could diversify a market currently dominated by U.S. dollar stablecoins, enhancing payment efficiency and stability in Asia. Moreover, the initiative may establish new cross-border payment corridors and reinforce Japan’s ambitions to become a leader in digital asset innovation.
