The stablecoin issuer, Circle, has partnered with SBI Holdings, a Tokyo-based financial services firm, in an effort to drive the adoption of USD Coin (USDC) and Web3 services in Japan. This collaboration aims to leverage the recently revised Payment Services Act in Japan, which established regulations for stablecoins, and propel the transition towards a Web3 economy. With SBI Holdings seeking registration as an electronic payment instruments service, the groundwork is being laid for the widespread use of stablecoins in Japan.
The collaboration between Circle and SBI Holdings reflects a shared vision for the future of digital currency in Japan and Asia. This partnership marks a significant milestone for Circle as it expands into the region. Jeremy Allaire, the CEO of Circle, expressed enthusiasm about setting new standards in the financial sector of Japan through this alliance with SBI Holdings. Both companies are committed to playing a pivotal role in shaping the financial landscape in Japan and are excited about the opportunities that lie ahead.
SBI Shinsei Bank, a subsidiary of SBI Holdings, will provide banking services to Circle, enabling access to USDC and liquidity for businesses and users in Japan. This step is crucial in facilitating the circulation and widespread adoption of USDC in the country. Yoshitaka Kitao, the CEO and President of SBI Holdings, believes that this collaboration will contribute to the mass adoption of stablecoins in Japan, given the ongoing preparations by the Japanese government. By seeking registration as an electronic payment instruments service, SBI Holdings is making progress towards realizing its goal.
While Circle is based in the United States, the adoption of USDC is predominantly taking place overseas, with Asia leading the way. Jeremy Allaire highlighted this fact, stating that 70% of USDC adoption occurs outside of the United States. The demand for safe and transparent digital dollars has been particularly strong in Latin America and Africa. Circle’s collaboration with SBI Holdings opens up new avenues for growth in the Asian market and strengthens its position as the second largest stablecoin, with a market cap of $24.6 billion.
The collaboration between Circle and SBI Holdings marks an important milestone in the advancement of USDC adoption and the promotion of Web3 services in Japan. With the support of SBI Holdings’ banking services, Circle is well positioned to expand its presence in the Japanese market. Both companies share a common goal of revolutionizing the financial sector, and this collaboration paves the way for a future in which stablecoins play a vital role in the economy. As the demand for digital currencies continues to grow worldwide, Circle and SBI Holdings are at the forefront, shaping the financial landscape and driving innovation in Japan and beyond.
