SBI and Startale Launch Trust Bank-Backed Yen Stablecoin

• In the past few years, Japan has been working hard to amalgamate regulated stablecoins into its mainstream financial system.
• In October 2025, the authorities from Japan accepted fintech firm JPYC’s stablecoin of the same name as the primary legally recognised yen-backed stablecoin of the company.

SBI Holdings and Startale Group of Japan revealed JPYSC, a trust bank-supported Japanese yen stablecoin for institutional and cross-border use cases. As per the press release of Startale, JPYSC is the first trust bank-backed stablecoin of Japan, having issuance managed by SBI Shinsei Trust Bank abiding by local digital asset regulations. 

The crypto exchange of the group, SBI VC Trade, will function as the main distribution partner, while Startale will head technical development. 

The press release also mentioned that the partners trust a trust bank-supported stablecoin can widen the role of the yen in digital finance and offer a regulated alternative in a market nowadays dominated by U.S. dollar-denominated stablecoins. 

The two firms mentioned early engagement from institutions and enterprises shows demand for yen-denominated stablecoins over payments, treasury management, and cross-border settlement. 

What Did The CEO Mention?

A trust bank-supported model strengthens governance, oversight, and operation safeguards for meaningful adoption in regulated environments, they mentioned. The JPYSC step is also being made to permit interoperability over traditional infrastructure and various blockchain networks, as per the statement. 

The CEO of Startale Group, Sota Watanabe, mentioned that our yen-denominated stablecoin is not only a means of everyday payment, but it will also play a crucial role in the completely on-chain world. 

Specifically, we witness immense potential in permitting payments between AI agents and boosting distributions for tokenized assets, both of which will soon become reality. JPYSC is anticipated to roll out in Q2 of 2026, subject to regulatory approvals. 

In the past few years, Japan has been working hard to amalgamate regulated stablecoins into its mainstream financial system. In 2022, the Japanese parliament passed amendments to the Payment Services Act that identified fiat-pegged stablecoins as Electronic Payment Instruments. 

In October 2025, the authorities from Japan accepted fintech firm JPYC’s stablecoin of the same name as the primary legally recognised yen-backed stablecoin of the company. The three prominent banks of Japan, MUFG, SMBC and Mizuho, also started stablecoin and tokenized deposit pilots spanning payments. 

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