SBI and Startale Launch JPYSC, Japan’s First Regulated Japanese Yen Stablecoin

A Japanese yen stablecoin has officially arrived. Japan’s SBI Holdings and Startale Group debuted JPYSC, the first trust bank-backed yen-backed stablecoin issued through Shinsei Trust & Banking. The launch fits squarely within Japan stablecoin regulation, which requires stablecoin issuance through licensed banks or trust companies only.

For anyone watching the regulated crypto space in Asia, this is also a significant step, right now, at a time when most stablecoin projects globally still lack proper institutional backing and regulatory footing.

How the Japanese Yen Stablecoin JPYSC Strengthens SBI and Startale’s Regulated Push

The Trust Bank Structure Behind JPYSC

Shinsei Trust & Banking issues the SBI stablecoin and holds the yen reserves in a regulated, segregated trust account, giving JPYSC a level of protection and oversight that most stablecoin issuers still lack. This is also precisely the structure that Japan stablecoin regulation demands under the framework introduced in 2022 and enforced from 2023 onward.

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Startale designed the JPYSC framework to comply with Japan’s stablecoin rules from the very beginning, building every component around regulatory requirements rather than retrofitting them later. That proactive approach carries real weight in a market where years of uncertainty have kept major institutions cautious and often unwilling to commit capital.

Startale Group CEO, Sota Watanabe, said that:

“Startale’s mission is to build the next civilization by bringing the world onchain. Our yen-denominated stablecoin is not just a means of everyday payment – it will play a central role in a fully on-chain 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.”

Utility and What Comes Next for the Japanese Yen Stablecoin

Startale Group manages the blockchain infrastructure layer, and the team plans to run JPYSC directly on Soneium, Sony’s Ethereum Layer‑2 network, once the ecosystem is fully operational. That gives the Japanese yen stablecoin utility well beyond simple yen transfers, connecting it to a growing ecosystem of Web3 applications.

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Regulators across Southeast Asia are closely watching the SBI stablecoin, as many are still developing their own frameworks and see a working yen‑backed stablecoin from a major institution as a potential model for compliant issuance.