Japan’s Major Banks Collaborate on Yen Stablecoin Initiative
- MUFG, Mizuho, and SMBC signed an MOU on June 10, 2026, to issue a joint yen stablecoin.
- The banks aim for live corporate transactions by March 2027, based on a November 2025 FSA pilot.
- USD stablecoins currently dominate with an estimated market share of up to $270 billion in a $300B market.
- The initiative aligns with Japan’s amended Payment Services Act from 2023.
- JPYC, the leading private yen stablecoin issuer, holds a market cap of approximately $18 million.
Japan’s three largest banks have joined forces to create a standardized yen stablecoin aimed at challenging the dominance of USD-pegged tokens in digital settlements. This strategic move is designed to establish domestic digital payment infrastructure and reduce yen-to-dollar conversion pressures.
With regulatory support and existing technology platforms in place, MUFG, Mizuho, and SMBC are positioned to significantly impact the market by fiscal year-end March (Source)
