JPYSC is Japan’s first trust bank–backed, yen-pegged stablecoin, developed through a strategic partnership between financial giant SBI Holdings and Web3 leader Startale Group. Issued by SBI Shinsei Trust Bank, JPYSC is legally classified as a Type III Electronic Payment Instrument under Japan’s amended Payment Services Act.
Scheduled for an official launch in Q2 2026, JPYSC is built to meet the rigorous demands of institutional treasury management and high-volume corporate settlements. Unlike existing yen tokens aimed at retail use, JPYSC focuses on global interoperability, connecting legacy banking systems with public blockchain networks to enable real-time, compliant digital yen transactions.
With the backing of the SBI Group, one of Japan’s largest financial conglomerates, and technical leadership from Startale Group, the team behind Astar Network, JPYSC is positioned as the primary Blue Mark of Trust for the regulated digital yen era.
This article explores the technical architecture of JPYSC JPY-pegged stablecoin, its unique trust-based security model, and how it differs from other Japanese stablecoins like JPYC.
What Is JPYSC, the Institutional Japanese Yen Stablecoin?
🇯🇵 Startale Group and SBI Holdings introduce JPYSC, the first trust bank–backed JPY stablecoin issued by Shinsei Trust & Banking, with Startale Group building the technical foundation for regulated digital yen infrastructure.
— JPYSC (@JPYStableCoin) February 27, 2026
Here's what makes JPYSC a landmark moment 👇🏻 pic.twitter.com/NcifsGY2uM
JPYSC is a fiat-collateralized stablecoin where each token is strictly pegged 1:1 to the Japanese yen. While retail stablecoins often target individual payments, JPYSC is engineered for Enterprise-Ready Settlement. It serves as a digital representation of yen held in a regulated trust, ensuring that every token in circulation is fully collateralized by liquid assets managed by a licensed trust bank.
By leveraging the expertise of SBI VC Trade for distribution and Startale Group for blockchain infrastructure, JPYSC enables corporations to move yen liquidity across borders and onto decentralized platforms without the volatility or regulatory ambiguity of unbacked crypto assets.
Why JPYSC Stablecoin Stands Out: The Trust Bank Model
Source: JPYSC on X
The primary differentiator for JPYSC is its classification as a Type III Electronic Payment Instrument. Unlike previous yen-pegged tokens that operated as prepaid instruments, limited in redemption and utility, JPYSC’s trust-based model is designed specifically to handle the high-security requirements of institutional treasury and global B2B settlement.
The Blue Mark Security for Bankruptcy Remoteness
The JPYSC Blue Mark represents a specific legal safeguard known as Bankruptcy Remoteness. Under Japan's Trust Business Act, the yen reserves backing JPYSC are held by SBI Shinsei Trust Bank in a segregated trust account.
• Legal Protection: These assets are legally separate from the balance sheets of SBI Holdings and Startale Group.
• Redemption Guarantee: If an issuing partner faces insolvency, the trust assets remain untouchable by creditors and are reserved exclusively to fulfill 1:1 redemptions for JPYSC holders.
• Audit Trail: This structure provides a transparent, verifiable link between on-chain tokens and off-chain cash reserves, a requirement for traditional financial (TradFi) integration.
JPYSC’s Institutional-Grade Backing and Performance Metrics
To maintain a strict 1:1 peg and provide 24/7 liquidity, JPYSC utilizes a multi-layered reserve strategy compliant with the 2026 Digital Year regulatory standards:
• 100% Cash and Cash Equivalents: Reserves consist of physical Japanese Yen deposits and highly liquid Japanese Government Bonds (JGBs).
• Short-Term Investment Flexibility: Following the 2025 regulatory update, trust-based issuers can invest up to 50% of reserves in short-term government bonds, ensuring the stablecoin remains liquid while maintaining a low-risk yield profile to support ecosystem growth.
• FSA-Monitored AML/KYC: Every transaction is subject to real-time monitoring via enterprise-grade tools. This ensures JPYSC meets the Financial Action Task Force (FATF) Travel Rule requirements, allowing it to be used for cross-border payments between regulated institutions.
• Scalable Infrastructure: Designed for high-throughput settlement, the technical foundation led by Startale Group allows for near-instant finality, essential for tokenized asset distribution and high-frequency corporate treasury moves.
How JPYSC Stablecoin Works: Architecture and Interoperability
JPYSC stablecoin by SBI Holdings and Startale Group | Source: Startale
JPYSC acts as a technical bridge, allowing value to flow between the traditional off-chain banking world and the on-chain Web3 world.
1. Issuance and Distribution by SBI Holdings
SBI Shinsei Trust Bank manages the minting process. When an institution deposits yen, the trust bank issues the equivalent amount of JPYSC. SBI VC Trade, the group's licensed exchange, serves as the primary gateway, allowing institutional clients to acquire and distribute the tokens.
2. Multi-Chain Interoperability
Developed by Startale Group, JPYSC is designed to be chain-agnostic. It is built to operate across multiple blockchain ecosystems, ensuring that yen liquidity can be used in various DeFi protocols, NFT marketplaces, and enterprise private chains without being siloed on a single network.
3. AI Agent and Machine Payments
A unique feature of JPYSC, highlighted by Startale CEO Sota Watanabe, is its readiness for the AI economy. JPYSC is designed to facilitate autonomous payments between AI agents, allowing machines to settle transactions in a regulated digital yen without human intervention.
What Are the Real-World Use Cases for JPYSC Yen Stablecoin?
JPYSC is more than a digital currency; it is a programmable financial layer for the modern economy:
• Cross-Border Settlement: Reducing the friction and cost of international trade by using JPYSC for instant, 24/7 settlement between global entities.
• Tokenized Asset Distribution: Powering the on-chain distribution of dividends or yields for Real-World Assets (RWAs) like real estate or bonds.
• Corporate Treasury: Allowing large firms to manage their yen liquidity on-chain, gaining more transparency and efficiency in fund movement.
• AI Economy: Enabling micro-payments for API calls, data processing, and autonomous machine-to-machine commerce.
How to Buy JPYSC Japanese Yen Stablecoin
As the official launch is targeted for Q2 2026, JPYSC will initially be available through institutional channels:
1. Onboarding: Corporate and institutional clients complete KYC through SBI VC Trade.
2. Minting: Following a yen deposit into the trust account, JPYSC is issued to the client's designated wallet.
3. Redemption: Users can return JPYSC to the portal to receive fiat yen directly into their bank accounts at a 1:1 ratio.
Safety Tip: Ensure you only interact with the official JPYSC smart contracts and verified SBI Group portals.
JPYSC vs. JPYC: Key Differences Between the Two Japanese Yen Stablecoins
While both tokens represent the Japanese yen on-chain, they operate under different legal categories and serve different market segments.
| Feature | JPYSC | JPYC |
| Issuer | SBI Shinsei Trust Bank | JPYC Inc. |
| Legal Status | Trust-based Electronic Payment Instrument | Fund Transfer-type Electronic Payment Instrument |
| Primary Target | Institutions, Banks, AI Agents | Retail, Web3 Users, Remittances |
| Key Backing | SBI Holdings & Startale Group | Asteria & VCs (Series B) |
| Main Use Case | Tokenized Assets & B2B Settlement | E-commerce & Retail Payments |
The primary distinction between the two assets lies in their regulatory classification under Japan’s Payment Services Act. JPYSC is a Type III Electronic Payment Instrument issued by a trust bank (SBI Shinsei Trust Bank), meaning reserves are held in a bankruptcy-remote trust and can be invested in low-risk Japanese Government Bonds (JGBs) for institutional liquidity. In contrast, JPY Coin (JPYC) operates as a Type II Fund Transfer-type instrument; while it is fully redeemable for yen, its issuance is handled by a non-bank fund transfer service provider, focusing its utility on retail payments, DeFi, and consumer-facing Web3 applications.
From a technical and market perspective, JPYSC is built for high-volume B2B settlement and tokenized asset distribution, leveraging the institutional rails of the SBI Group to handle large-scale corporate treasury moves. JPYC, having secured a $11.9 million Series B in 2025, maintains a stronger presence in the retail ecosystem with multi-chain support across Ethereum, Polygon, and Avalanche, and integrations with consumer platforms like LINE NEXT. While JPYC currently leads in circulating supply and retail adoption, JPYSC is positioned as the Blue Mark for enterprise-grade security, targeting the 2026 Digital Year push for regulated, institutional on-chain finance.
How to Trade USDJPY Futures with USDT on BingX TradFi
Trade USDJPY futures with USDT on BingX TradFi futures market
BingX TradFi allows you to gain exposure to the Japanese yen’s price action against the US dollar by using USDT as collateral for seamless, high-leverage futures trading.
1. Access TradFi: Log in to your BingX account and navigate to the Markets tab, then select the TradFi section.
3. Transfer USDT: Ensure you have USDT in your Futures Account; if not, use the internal transfer function to move funds from your Spot wallet.
4. Configure Your Trade: Choose your margin mode (Isolated or Cross) and set your desired leverage, up to 500x.
5. Execute the Order: Enter your position size, set your Take Profit (TP) and Stop Loss (SL) levels, and click Open Long if you expect the USD to strengthen, or Open Short if you expect the JPY to gain value.
6. Monitor and Close: Track your unrealized PnL (profit and loss) in the Positions tab and close the trade manually or via your pre-set triggers when your target is reached.
In addition to USD/JPY futures, BingX TradFi also offers other leading JPY forex pairs for futures trading on its platform, including NZDJPY, AUDJPY, EURJPY, GBPJPY, and CADJPY.
What Are the Pros and Cons of JPYSC Japanese Yen-Pegged Stablecoin?
As Japan’s first trust bank-backed digital yen, JPYSC offers a unique balance of institutional-grade security and blockchain flexibility, though its specialized focus brings specific considerations for users.
Key Benefits of $JPYSC
• Highest Regulatory Tier: Trust bank backing offers the strongest legal protection for stablecoin holders in Japan.
• Institutional Liquidity: Backed by the massive financial infrastructure of SBI Holdings.
• Modern Use Cases: Specifically designed for future-tech like AI agents and tokenized RWA.
• Transparency: Real-time on-chain auditing paired with strict banking oversight.
Risks and Considerations of JPYSC Stablecoin
• Institutional Focus: Initial accessibility for retail users may be more limited compared to JPYC.
• Launch Timeline: Full utility depends on the Q2 2026 launch and subsequent ecosystem growth.
• Regulatory Changes: While compliant today, the digital asset landscape in Japan continues to evolve.
Conclusion: Is JPYSC Stablecoin the Start of Japan’s Digital Yen Era?
The introduction of JPYSC marks a significant transition in Japan's digital finance strategy, moving from experimental retail tokens toward institutional-grade infrastructure. By integrating the regulatory oversight of SBI Shinsei Trust Bank with the blockchain expertise of Startale Group, the project establishes a compliant framework for high-volume settlements, tokenized assets, and autonomous AI transactions. This partnership effectively positions the Japanese yen as a viable, regulated competitor in a global stablecoin market currently dominated by USD-pegged assets.
For businesses and institutions seeking to bridge traditional banking with the Web3 ecosystem, JPYSC provides a robust, trust-based entry point scheduled for the second quarter of 2026. However, as with any emerging digital asset, users should be aware of the inherent risks, including potential shifts in Japan’s evolving regulatory landscape, the technical security of the underlying smart contracts, and the liquidity depth across different blockchain networks. It is essential to conduct thorough due diligence and monitor official regulatory updates before integrating new stablecoin solutions into financial operations.
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FAQs on JPYSC Japanese Yen-Backed Stablecoin
1. Is JPYSC a Central Bank Digital Currency (CBDC)?
No, JPYSC is a privately issued stablecoin by SBI Shinsei Trust Bank, not a CBDC issued by the Bank of Japan. However, it functions as a regulated digital yen.
2. When can I start using JPYSC?
The official launch is targeted for Q2 2026 (April–June), following final regulatory approvals.
3. Is JPYSC available on Ethereum and Polygon?
Yes, JPYSC is designed for global interoperability and is expected to support major public blockchain networks.