Startale and SBI Plan Regulated Yen Stablecoin

• Startale and SBI signed an MoU to develop a Japanese yen stablecoin.
• The parties aim to launch the new stablecoin in Q2 2026.
• Yen stablecoin will accelerate the integration of digital assets into traditional finance.

According to reports, Startale Group and SBI Holdings have agreed to develop a Japanese yen stablecoin. The two companies signed a memorandum of understanding (MoU) on Monday to collaborate on creating an alternative to dollar-dominated digital currencies in global trade and settlement.

A Product That Aligns With Japan’s Regulatory Framework

It is worth noting that Startale and SBI plan to create the new stablecoin under Japan’s recently established regulatory framework. They target a launch date within the second quarter of 2026 for the product’s rollout. In the meantime, both parties have distinct and well-defined responsibilities in their collaboration to execute the project.

Startale’s role in the partnership revolves around leading the technological development, including the smart contract architecture and security systems. Meanwhile, SBI will focus on managing regulatory compliance and institutional distribution channels. For context, each party will focus on its expertise; for instance, Startale is the operator of Japan’s Astar Network and co-develops Soneium with Sony Blocks Solutions Labs.

Related: Japanese Fintech Firm JPYC Launches Country’s First Legally Recognized Yen Stablecoin

According to the collaboration announcement, both parties plan to build on an existing relationship, having worked together to develop tokenized equities, with plans to run a digital asset exchange. The overall structure of their collaboration will involve the two firms positioning their dual-currency approach as creating an interoperable framework that connects regulated yen stablecoins with broader blockchain ecosystems.

Accelerating Digital Financial Services Integration

In the meantime, Yoshitaka Kitao, chairman and president of SBI Holdings, believes the shift toward a token economy is irreversible. According to Kitao, the upcoming ten stablecoin will accelerate the integration of digital financial services with traditional finance. He noted that the project aims to offer a yen option in a stablecoin market that now exceeds $300 billion in circulation, while processing trillions of dollars in annual transactions.

It is crucial to note that Japan’s Financial Services Agency has established a Payment Innovation Project, which is a regulatory sandbox for blockchain payments.

The yen stablecoin project by Startale and SBI aligns with this initiative, alongside the FSA’s recently approved pilots by the region’s three largest banks, including Mitsubishi UFJ, Sumitomo Mitsui, and Mizuho, representing the sandbox’s first test case.

Related: Japan’s Top 3 Banks Led By MUFG Unite to Unveil Local Stablecoin