SBI Holdings, a financial services company based in Tokyo, has entered into a Memorandum of Understanding (MOU) with Circle, the issuer of the USDC stablecoin. The primary objective of this partnership is to expand the availability of USDC in Japan. To achieve this, the collaboration aims to establish a platform for the circulation of USDC, foster a banking relationship, and promote the utilization of Circle’s Web3 Services throughout Japan.
To ensure a seamless implementation of their plan, both parties have expressed their commitment to adhering to regulations governing stablecoins. This includes maintaining open lines of communication with relevant authorities as needed.
However, SBI VC Trade currently awaits approval from authorities to be registered as an e-payment instrument service. Once granted, this registration would enable the firm to facilitate the circulation of the USDC stablecoin within Japan.
Under this banking-focused partnership, SBI Shinsei Bank, Limited will offer banking services to Circle, the issuer of the stablecoin. This collaboration aims to provide Japanese users and businesses with convenient access to USDC and liquidity.
SBI has also announced its intention to embrace Circle’s web3 solution, which includes smart contract tools and blockchain infrastructure.
Jeremy Allaire, the co-founder and CEO of Circle, expressed the significance of this partnership for their expansion into Asia Pacific and Japan.
For SBI, this partnership positions them well for Japan’s anticipated widespread adoption of stablecoins, as indicated by the revised Payment Services Act implemented in June.
Yoshitaka Kitao, Representative Director, Chairman, President & CEO of SBI Holdings acknowledged the partnership is a step in the right direction and that the “SBI Group is committed to wholeheartedly working towards realizing new financial possibilities using stablecoins.”
In June, the Japanese government made revisions to the Payment Services Act, which now includes regulations specifically for stablecoins. These new regulations are expected to facilitate the issuance and circulation of stablecoins in Japan, potentially catalyzing the nation’s transition towards a Web3 economy.
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