Circle, the issuer of the stablecoin USD Coin (USDC), has partnered with SBI Holdings, a financial services firm based in Tokyo, to enhance the adoption of USDC and Web3 services in Japan.
The collaboration was outlined in a memorandum of understanding (MOU) on November 27. It aims to strategically expand the presence of USDC in the Japanese market.
This move follows the revision of the Payment Services Act by the Japanese government in June, which established regulations for stablecoins. Circle foresees that these regulations will incentivize the issuance and circulation of stablecoins in Japan. This, in turn, will foster the country’s transition toward a Web3 economy.
For the introduction of USDC into Japan, SBI Holdings is in the process of registering as an electronic payment instruments service provider, a step contingent on approval from Japanese authorities.
SBI Holdings and Circle Team Up to Advance Stablecoin Adoption and Web3 Services in Japan
SBI Holdings’ CEO and President, Yoshitaka Kitao, envisions this partnership as a significant step toward widespread stablecoin adoption in Japan.
The collaboration signifies a shared vision for the future of digital currency in Japan and Asia, representing a milestone in Circle’s expansion plan into the region, according to Circle’s CEO Jeremey Allaire.
Additionally, Circle will collaborate with SBI to promote the adoption of its full-stack Web3 Services suite. This suite offers comprehensive solutions for developing, deploying, and operating Web3 applications. It spans across various blockchains, with a particular focus on areas like games, culture, and consumer entertainment.
SBI Shinsei Bank Collaborates with Circle to Boost USDC Accessibility in Japan Amid Global Surge
SBI Shinsei Bank, a subsidiary of SBI, will facilitate banking services for Circle, enabling access to USDC and liquidity for businesses and users in Japan, as per Circle’s statement.
Although Circle is based in the United States, the majority of USDC adoption is happening internationally. Asia is leading this adoption, representing 70% of the total, as stated by Circle CEO Jeremey Allaire. Additionally, Allaire emphasized a robust demand for secure and transparent digital dollars in Latin America and Africa.
USDC is the second-largest stablecoin, with a market capitalization of $24.6 billion, trailing behind Tether (USDT), according to CoinGecko.