Japan's Financial Giants Race to Mint the Future of Money

Japan’s Monex Group is evaluating the potential launch of a yen-pegged stablecoin, a move aimed at keeping pace with evolving trends in digital finance. The publicly traded financial services company, known for its ownership of local cryptocurrency exchange Coincheck and its Monex securities brokerage, is reportedly considering the issuance of a stablecoin backed by assets such as Japanese government bonds. Monex Group Chairman Oki Matsumoto emphasized the importance of entering the stablecoin space, noting that failing to act could leave the firm behind in an increasingly competitive market. “Issuing stablecoins requires significant infrastructure and capital, but if we don’t handle them, we’ll be left behind,” he stated. Matsumoto added that the company is also exploring the acquisition of European crypto-related firms, a strategic move to bolster its global presence in the digital asset sector [1].

The proposed yen-pegged stablecoin, if issued, would be redeemable at a 1:1 ratio with the Japanese yen and could be used for international remittances and corporate settlements. It would follow a broader trend of regulatory liberalization in Japan, where the Financial Services Agency (FSA) is preparing to approve the issuance of domestic yen-backed stablecoins as early as this fall. This would mark the first time such a currency has been permitted in Japan, following a series of regulatory changes that began in 2023 when the country lifted its ban on foreign stablecoins. In February 2025, the FSA approved a working group’s recommendations to ease stablecoin regulations, creating a more favorable environment for domestic issuers [1].

Japan’s regulatory progress has not gone unnoticed by international players. Ripple, in partnership with SBI Holdings, has also announced plans to launch its Ripple USD (RLUSD) stablecoin in Japan by early 2026. The token, fully backed by U.S. dollar deposits and short-term government treasuries, will be distributed through SBI VC Trade, a subsidiary of SBI Holdings and the first licensed electronic payment instruments exchange service provider in the country. Ripple’s Jack McDonald described RLUSD as “an institutional-grade asset designed for compliance and transparency,” positioning it as a key player in Japan’s expanding stablecoin ecosystem [2]. This initiative is part of a broader strategy to strengthen Ripple’s presence in Asia, where it already collaborates with SBI on cross-border remittances using XRP.

Japan is not the only country pushing the boundaries of stablecoin adoption. The U.S. Senate recently passed the GENIUS Act, the first federal law governing stablecoins in the United States, which aims to provide clear compliance frameworks and foster institutional adoption. Meanwhile, Wyoming has launched its own state-backed stablecoin, the Frontier Stable Token (FRNT), backed by U.S. dollars and Treasury bills. In Japan, a government-backed yen-pegged stablecoin, JPYC, is set to launch this fall, with Circle, the issuer of USDC, already involved in the project. These moves by governments signal a growing recognition of stablecoins as a legitimate and transformative component of the financial system [3].

As global demand for stablecoins continues to grow, reaching over USD 300 billion in market capitalization, analysts and corporate leaders are increasingly viewing them as essential tools for modern finance. Companies across sectors, including JPMorgan, Amazon, and Apple, are exploring stablecoin integration to reduce costs, streamline operations, and improve global transaction efficiency. With Japan now on the cusp of launching its first domestic stablecoins, the country is poised to become a key player in the digital currency revolution, joining a wave of global adoption that could reshape the future of financial infrastructure [3].

Source:

[1] Japan's Monex Group considers launching yen-pegged stablecoin (https://cointelegraph.com/news/japan-monex-group-considers-launching-yen-pegged-stablecoin)

[2] Ripple and SBI to launch RLUSD stablecoin in Japan by 2026 (https://thedigitalbanker.com/ripple-and-sbi-to-launch-rlusd-stablecoin-in-japan-by-2026/)

[3] Stablecoins Hit Their IPhone Moment From Wyoming To Japan To MetaMask (https://www.forbes.com/sites/digital-assets/2025/08/25/stablecoins-hit-their-iphone-moment-from-wyoming-to-japan-to-metamask/)