Yen stablecoin JPYSC in development

The project is structured so SBI Shinsei Trust Bank would handle issuance and trust-based management of the stablecoin’s backing, while SBI VC Trade is expected to serve as a primary distribution channel and Startale would lead technical development, according to multiple reports summarizing the arrangement and roles.

The companies first disclosed the plan in December 2025, saying they had signed a memorandum of understanding to build a “fully regulated” yen stablecoin intended to function as a settlement asset for global business payments, with a deployment target in the second quarter of 2026.

SBI framed the initiative around commercial payment flows rather than retail trading, positioning the token as infrastructure for businesses that need faster settlement and predictable yen exposure in cross-border transactions. Startale’s involvement is tied to interoperability and blockchain implementation, with the partners describing the stablecoin as designed to work across payment rails used by institutions.

The effort is unfolding as Japan’s stablecoin market begins to diversify beyond pilot programs. In October 2025, Japanese fintech JPYC launched what it described as the country’s first legally recognized yen-denominated stablecoin under Japan’s framework, highlighting that yen-linked tokens are moving from concept to live issuance.

JPYC has said its stablecoin is backed by yen-denominated assets including Japanese government bonds, and the company has projected significant expansion in issuance over time—illustrating how reserve design and asset management are becoming central to yen-stablecoin competition and regulatory scrutiny.

For SBI and Startale, the trust bank structure is meant to align the product with Japan’s rules for fiat-referenced stablecoins, which generally emphasize identifiable issuance, segregated reserves, and clear redemption expectations. The partners’ choice of a trust bank issuer also reflects a broader trend of regulated entities seeking to anchor stablecoins within existing financial governance and custody standards.

SBI’s stablecoin work also sits alongside its separate blockchain buildout with Startale. Earlier in 2026, the companies announced a joint blockchain venture for tokenized securities and real-world asset activity, indicating that the yen stablecoin is being developed in parallel with infrastructure aimed at regulated on-chain finance.

The companies have not published final launch conditions or a public reserve breakdown for JPYSC, and the timeline remains subject to regulatory processes and implementation readiness. For now, the next milestones are technical delivery and the formalization of issuance and distribution arrangements through SBI’s trust and exchange units ahead of the stated 2026 rollout window.