Circle, the issuer of the USDC stablecoin, has confirmed that Japan’s SBI VC Trade cryptocurrency exchange will launch USDC in Japan this week. The stablecoin issuer announced a collaboration with SBI Holdings in late 2023. Since then it has set up a local subsidiary, Circle Japan KK, and created a joint venture with SBI Holdings. It also has plans to list and distribute USDC via Binance Japan, bitbank and bitFlyer.
Earlier this month SBI VC Trade received Japan’s first license as an “Electronic Payment Instruments Exchange Service Provider”. This registration is necessary for a Japanese company to support foreign stablecoins.
“We believe this initiative will enhance financial accessibility and drive digital asset innovation, aligning with our broader vision for the future of payments and blockchain-based finance in Japan,” said Yoshitaka Kitao, Representative Director, Chairman, President & CEO of SBI Holdings.
While Japan passed ground breaking stablecoin legislation that came into force in 2023, so far stablecoin activities have been low key, despite many announcements. For example, Progmat Coin is a stablecoin issuance platform, founded by MUFG and with the other big three banks as backers. It has yet to launch its first stablecoin despite announcing that Binance was exploring a deal for stablecoin issuance back in 2023.
In another notable move, the big three Japanese banks are planning to experiment with what’s referred to as a “stablecoin sandwich”. Local businesses that want to send money abroad will instruct their bank in the usual way, but the banks will use stablecoins for payment in the background.
