SBI Holdingsa prominent figure in Tokyo’s financial community, has taken significant steps forward in driving the adoption of USD Coin (USDC) in Japan by solidifying a strong partnership with Circle Internet Financial.
SBI Holdings & Circle’s Shared Vision
SBI Holdings and Circle’s latest partnership aims to strengthen USDC’s position in the Japanese financial landscape. This strategic partnership, formalized through a Memorandum of Understanding (MOU), marks a pivotal move in promoting the distribution of USDC and enhancing the uptake of Circle’s innovative Web3 services in Japan.
Jeremy Allaire, CEO and co-founder of Circle, expressed great optimism about this collaboration and emphasized its importance: “Our partnership with SBI sets a new standard for the Japanese financial sector by unifying our vision for the future of digital currencies.”
In a similar vein, Yoshitaka Kitao, CEO, Chairman, President and CEO of SBI Holdings, echoed this sentiment, emphasizing Japan’s readiness to embrace comprehensive integration of stablecoins.
Strategic Partnerships and Integration Efforts
This collaboration plan hinges on SBI VC Trade Co., Ltd., a subsidiary of SBI Holdings, aiming to register as an electronic payment instrument service provider in Japan, subject to regulatory approval. This pivotal step highlights our joint efforts to accelerate USDC’s national expansion.
SBI Shinsei Bank, another subsidiary of SBI Holdings, will further strengthen this partnership and extend essential banking services to Circle. This strategic move aims to enhance accessibility to USDC, enhance its liquidity, and meet surging demand among Japanese businesses and individual users.
SBI Holdings plans to integrate Circle’s comprehensive suite of Web3 services, including programmable wallets, blockchain infrastructure and smart contract management tools, to enhance its digital asset strategy.
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Japan’s steps toward a Web3-based economy
The cooperation plan between SBI Holdings and Circle is consistent with Japan’s proactive approach to digital asset regulation. Japan’s revised Payment Services Act, enacted on June 3, 2023, lays the foundation for the regulated issuance and distribution of stablecoins, marking a significant step toward Japan’s ambitious transition to a Web3-based economy.
The legislative focus is specifically around “collateralized” stablecoins, which accurately reflect the characteristics of Circle’s USDC. This stablecoin is fully backed by highly liquid cash and cash-equivalent assets, ensuring stability and reliability.
Maintaining USDC reserves separate from operating funds and securing them with major financial institutions further emphasizes our commitment to security and reliability. With USDC’s on-chain transaction volume reaching $12.7 trillion as of November 17, 2023, this stablecoin continues to exert significant global influence and credibility and is poised to play a pivotal role in Japan’s evolving financial landscape. is set.