Japan's SBI teams up with Startale to begin development of a yen stablecoin… targets Q2 release next year

Startale Group, a Japanese blockchain company, announced on the 16th (local time) that it will jointly develop a yen-based stablecoin (a virtual asset whose value is pegged to a fiat currency) with SBI Holdings, Japan's largest financial group.

That day, the two companies signed a memorandum of understanding (MOU) and agreed to jointly develop and launch a regulation-compliant stablecoin pegged to the Japanese yen. Startale will provide the blockchain infrastructure technology necessary for stablecoin development, and SBI Holdings will contribute its financial network for cooperation. The stablecoin is expected to be used for cross-border payments and settlement of tokenized real-world assets (RWA).

Issuance and redemption of the yen stablecoin developed by the two companies will be handled by Shinsei Trust & Banking, a wholly owned subsidiary of SBI Shinsei Bank. Distribution will be managed by SBI VC Trade, which holds a virtual asset service provider license.

Yoshitaka Kitao, CEO of SBI Holdings, said, "The transition to a token economy where all real-world assets are tokenized is an irreversible trend," adding, "We will distribute the yen stablecoin domestically and internationally to accelerate the provision of digital financial services combined with traditional finance."

This project also aligns with the Financial Services Agency's (FSA) recently launched blockchain payment regulatory sandbox, the 'Payment Innovation Project.' The FSA has approved proof-of-concept projects for yen stablecoins by Japan's three major banks — Mitsubishi UFJ, Sumitomo Mitsui, and Mizuho — as its first official test cases.

Sota Watanabe, CEO of Startale Group, said, "The yen stablecoin will become a core infrastructure not only for everyday payments but also for payments between AI agents and distribution of tokenized assets," adding, "Our goal is to make Japan the center of the on-chain revolution." The stablecoin is scheduled to be launched in Q2 2026 after regulatory procedures.