“Japan prizes systemic stability above innovation speed, while the US is signaling a bigger market-opening play,” said Startale Group’s Takashi Tezuka.
While the U.S. GENIUS Act is being celebrated as a market catalyst for stablecoin adoption, Japan’s earlier reforms show the flip side: Clarity doesn’t automatically translate into immediate real-world utility.
Japan had the world’s first comprehensive stablecoin regime in 2023, but adoption has been muted. Licensed issuers exist on paper, yet there is no thriving yen-stablecoin economy.
“The GENIUS Act was greeted with a mix of relief and curiosity,” Tezuka said, “because the U.S. has finally caught up with what Japan did two years earlier—putting a comprehensive legal framework around stablecoins.”
Under Japan’s 2023 amendment to the Payment Services Act, only licensed banks, trust banks, and registered money transfer agents are permitted to issue stablecoins.
The US approach under the GENIUS Act, by contrast, opens the door more widely: Not only banks but also federally licensed non-bank companies can pursue stablecoin issuance, provided that reserve and compliance standards are met.
This underscores a philosophical divide. “Japan prizes systemic stability above innovation speed, while a bigger market-opening play is being signaled by the U.S.,” Tezuka noted.
Still, the gap may not last long. Japan’s infrastructure-first strategy “mirrors broader industry signals — global players are building infrastructure to support programmable, enterprise-grade capital markets, and the country is positioned by Japan’s measured, infrastructure-first mindset to compete as the regulatory landscape matures.”
Japan’s First Yen-Backed Stablecoin to Launch This Year
After laying the regulatory groundwork for the past two years, Japan is set to approve its first yen-den stablecoin this fall, with the door being opened to blockchain-based remittances and payments of its national currency.
The first stablecoin will reportedly be issued by the local fintech company JPYC, which is registering as a money transfer operator. It will be a fully collateralized stablecoin, backed one-to-one with bank deposits and Japanese government bonds.
Tokyo-based Monex Group is also considering issuing its own yen-pegged stablecoin. Like JPYC‘s, it would be fully collateralized with government bonds and other liquid assets, and aimed at use cases such as corporate settlements and global remittances.
The potential entry of Monex is especially notable. As a publicly traded company with subsidiaries including Tradestation and Coincheck—together serving millions of users—it could bring scale and credibility to Japan’s nascent stablecoin market.
If realized, these initiatives would mark the yen’s long-awaited entry into the $270 billion global stablecoin market, which today remains overwhelmingly dominated by US-dollar tokens, especially Tether‘s USDt and Circle‘s USDC.
Japan’s Stablecoin Adoption Heats Up with New Initiatives
Tezuka’s company, Startale, has pushed for greater stablecoin adoption in Japan, culminating in a recent partnership with local financial giant SBI, with which separate agreements were also signed by USDC issuer Circle and payments developer Ripple.
As part of the collaboration, a platform for tokenized stocks and other real-world assets is being built by SBI with Startale.
“The goal is to give institutional and retail investors the tools to trade tokenized assets, including US and Japanese native stocks, with true 24/7 access, near-instant cross-border settlements, and fractional ownership for greater accessibility,” Tezuka .
Beyond tokenization, Startale is also focused on expanding corporate use of stablecoins by improving liquidity.
“The next step is programmable treasuries: using stablecoins alongside tokenized assets for automated FX hedging, conditional payments, and real-time capital allocation,” Tezuka said.
