SBI Holdings has partnered with Circle to establish a joint venture and promote the use of USDC in Japan, creating new use cases in the Web3 and digital finance domains.
The venture is connected to SBI VC Trade, a subsidiary of SBI Holdings that registered as an Electronic Payment Instruments Service Provider in Japan earlier this year. SBI VC Trade started USDC trading services, shifting Japan’s digital finance sector to include stablecoins. Additionally, the company reinforced its partnership with Circle through a USD 50 million equity stake acquired after Circle’s IPO on the New York Stock Exchange listing.
Distributing USDC in Japan
The initiative follows a 2023 MoU between Circle and SBI, focusing on expanding the applications of USDC circulation, developing banking connections, and introducing Web3-related services in Japan. A formal joint agreement was signed in March this year, stating the official launch of the partnership.
The two companies have a shared vision of advancing stablecoin adoption in Japan by leveraging their strengths, technology, and networks. SBI believes that, by using its financial infrastructure and Circle’s experience, the collaboration has the potential to significantly contribute to the country’s digital financial system.
SBI has expanded to become a player across a diversified range of industries, including securities, banking, insurance, asset management, crypto-assets, and biotechnology. This positions the company to contribute to blockchain adoption in Japan while remaining compliant with the legal requirements of the industry. While some questions remain over regulatory treatment of stablecoins, proponents argue that collaborations like this could lower transaction costs, increase financial inclusion, and accelerate the modernisation of Japan’s financial system.
Japan is yet to approve its own stablecoin as its FSA is clearing the way to issue a digital currency pegged to the JPY. Once approved, the move could mark the first time a domestically issued stablecoin tied to the yen becomes available, following a regulatory framework introduced in 2024.
