Circle Internet Financial and SBI Holdings plan to introduce the USDC stablecoin to the Japanese market starting March 26. It will be the first global stablecoin approved by the FSA and backed by the dollar.
Launch Details and Market Introduction
Circle Internet Financial aims to introduce USDC in Japan under the backing of SBI Holdings. Users can redeem the stablecoin for U.S. dollars at a one-to-one exchange rate due to its backing by liquid assets. The approval process began after SBI VC Trade received the necessary authorization from Japan's Financial Services Agency.
Regulatory Framework and Strategic Partnership
In 2023, Circle Internet Financial and SBI Holdings formed an alliance to facilitate USDC circulation in Japan. This partnership led to the first stablecoin being sanctioned under Japan’s regulatory framework, ensuring USDC operates within strict financial guidelines. "Japan has long been at the forefront of Web3 and blockchain technology adoption, with regulatory leadership evident in clear rules for stablecoin use in the financial system," stated Circle co-founder and CEO Jeremy Allaire. SBI Holdings representative director, chairman, and CEO Yoshitaka Kitao noted, "SBI Holdings is proud to play a key role in expanding USDC adoption in Japan, enhancing digital asset accessibility and promoting financial innovation."
Future Prospects and Market Expansion
Future releases of USDC to Japanese cryptocurrency exchanges will include Binance Japan, bitbank, and bitFlyer, expanding stablecoin accessibility across the country. The Japanese market remains attentive towards regulated digital assets. Circle and SBI Holdings continue to work on projects supporting the digital economy, complementing Japan's focus on blockchain technology and digital finance, paving the way for further digital currency initiatives.
The upcoming launch of USDC in Japan is seen as a milestone, driving further innovations in Japan's payment systems and digital currency development.
