SBI Holdings and Startale Group have introduced JPYSC, a Japanese yen stablecoin backed by a licensed trust bank, in a move that places Japan’s regulated financial sector at the center of digital asset issuance.
According to official statements from the companies, JPYSC will be issued by SBI Shinsei Trust Bank under Japan’s digital asset regulatory framework. The structure makes JPYSC the first yen stablecoin in the country backed by a trust bank. SBI VC Trade will serve as the primary distribution partner, while Startale will oversee technical development.
The partners target a second-quarter 2026 launch, subject to regulatory approvals.
🇯🇵 Startale Group and SBI Holdings introduce JPYSC, the first trust bank–backed JPY stablecoin issued by Shinsei Trust & Banking, with Startale Group building the technical foundation for regulated digital yen infrastructure.
— Startale 💿 (@StartaleGroup) February 27, 2026
Here's what makes JPYSC a landmark moment 👇🏻 pic.twitter.com/HbWGVIO3nR
Built under Japan’s stablecoin rules
Japan amended its Payment Services Act in 2022 to recognize fiat-pegged stablecoins as Electronic Payment Instruments. Under the current framework, only licensed banks and trust companies may issue such tokens. JPYSC operates within that structure.
The companies state that the trust bank model provides legal clarity, asset segregation, and governance safeguards that institutional users require. SBI Shinsei Trust Bank will manage issuance and custody under established banking standards.
JPYSC is positioned as a regulated alternative in a market dominated by U.S. dollar-denominated stablecoins. A yen-backed instrument can expand the role of the Japanese currency in digital finance, particularly for treasury operations, cross-border settlement, and corporate payments.
Institutional and cross-border focus
JPYSC targets institutional use cases rather than retail speculation. The stablecoin will support cross-border payments and treasury management. Financial institutions will have the ability to transfer value across jurisdictions using blockchain rails while remaining within Japan’s regulatory perimeter.
The design also supports tokenized asset settlement. Tokenized assets represent real-world financial instruments on blockchain networks. A regulated yen stablecoin can serve as a settlement layer for those instruments.
Startale operates Astar Network and co-develops the Soneium blockchain with Sony Group Corporation. The company aims to connect traditional finance with onchain infrastructure.
Sota Watanabe, CEO of Startale Group, described the broader ambition behind the project.
“Our yen-denominated stablecoin is not just a means of everyday payment,” Watanabe said in the statement. “It will play a central role in a fully onchain world. In particular, we see enormous potential in enabling payments between AI agents and powering distributions for tokenized assets, both of which will soon become reality.”
Yoshitaka Kitao, Representative Director, Chairman, and President of SBI Holdings, framed the initiative within a longer-term shift toward tokenization.
“The transition to a ‘Token Economy’ where all real-world assets are tokenized and tokens permeate society as a means of settlement is now an irreversible societal trend,” Kitao stated.
Distribution and market positioning
SBI VC Trade will handle the distribution of JPYSC. As part of the SBI Group, the exchange provides a channel into regulated crypto markets in Japan. The structure lets the stablecoin move around in a controlled setting instead of going through offshore places.
The companies report early engagement from financial institutions and enterprises prior to launch. They cite demand for yen-denominated settlement tools across payments and cross-border activity. No specific figures were disclosed.
Japan already has experience with regulated stablecoins. Authorities approved fintech firm JPYC’s yen-backed token last year under the revised legal framework. In parallel, Japan’s three megabanks, MUFG, SMBC, and Mizuho, initiated pilots that explore stablecoins and tokenized deposits for payments and interbank settlement. The Financial Services Agency publicly supported that pilot project in December.
Against that backdrop, JPYSC represents a further step in institutional issuance instead of a single experiment.
Regional competition intensifies
The launch also comes as regional jurisdictions move to define stablecoin oversight. Hong Kong recently announced plans to issue its first batch of stablecoin issuer licenses next month, as HodlFM reported. Japan’s approach relies on integrating stablecoins into existing banking law.
By anchoring issuance in a licensed trust bank, SBI Holdings and Startale align JPYSC with domestic compliance standards. The model contrasts with offshore stablecoins that operate outside Japan’s banking system.
If regulators grant final approval, JPYSC will enter a market where dollar-backed tokens dominate global liquidity. The partners argue that a regulated yen instrument can support Japan’s role in digital settlement and reduce reliance on foreign-denominated stablecoins for regional transactions.
The second-quarter launch timeline now depends on regulatory clearance. The structure, distribution channel, and stated use cases indicate a product designed for institutional balance sheets rather than retail trading.
Anastasiia G
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