SBI's Crypto Arm to Support USDC as Japan Eases Stablecoin Regulations

SBI VC Trade, the cryptocurrency arm of Japan’s financial giant SBI Group, is set to roll out support for Circle’s USDC stablecoin as the Japanese government softens its stance on stablecoin regulations. This marks a significant step for both the firm and the broader cryptocurrency ecosystem in Japan, as the country increasingly opens its doors to stablecoin transactions.

First Step in USDC Support

On March 4, SBI VC Trade announced that it had completed the initial registration necessary to begin stablecoin transactions. This registration will allow the platform to process USDC transactions, making it one of the first financial institutions in Japan to do so.

The platform plans to conduct a USDC trading trial for selected users on March 12, with plans for a full-scale rollout in the near future. This launch signals the company’s readiness to bring stablecoin trading to Japan, further integrating digital currencies into the country’s financial ecosystem.

Japan’s Evolving Stablecoin Regulations

The news comes as Japan is actively evolving its stablecoin regulatory framework. SBI VC Trade CEO, Tomohiko Kondo, confirmed the milestone on X (formerly Twitter), stating that the firm had received a notification from the Kanto Regional Financial Bureau regarding the registration of an electronic payment instrument trading business. With this approval, SBI VC Trade has become the first company in Japan to receive a stablecoin license.

This regulatory development comes on the heels of a significant policy shift in Japan’s stance on foreign stablecoins. In 2023, Japan lifted its ban on overseas stablecoins, allowing companies to offer stablecoin services within the country’s jurisdiction. This regulatory change, coupled with the Financial Services Agency (FSA)'s recent support for stablecoin use, sets the stage for more robust adoption of digital assets.

FSA Commissioner Supports Stablecoins

On the same day that SBI VC Trade made its announcement, Hideki Ito, Commissioner of Japan’s Financial Services Agency (FSA), expressed strong support for stablecoin transactions in the country. Speaking at the Fin/Sum 2025 event during Japanese Fintech Week on March 4, Ito emphasized the role of stablecoins in financial innovation, particularly for improving remittance and settlement processes.

“Stablecoins are used soundly for the sophistication of remittance and settlement. I hope it will be done,” Ito remarked, underscoring the regulatory body’s growing acceptance of stablecoin technology as a vital part of Japan’s financial infrastructure.

Expanding Crypto Partnerships and Offerings

The decision to support USDC is part of SBI VC Trade’s broader strategy to enhance its cryptocurrency offerings. In addition to USDC, the platform already supports a variety of major cryptocurrencies, including Bitcoin (BTC), Ether (ETH), and XRP.

SBI Group, through its various subsidiaries, has been closely collaborating with several major players in the U.S. crypto space, including Ripple, in a bid to strengthen its position in the global digital asset market.

Conclusion

SBI VC Trade’s move to support USDC is a significant milestone in Japan’s evolving regulatory landscape for stablecoins. As Japan continues to ease restrictions on foreign stablecoins, the country’s cryptocurrency ecosystem is poised for further innovation and adoption. With the support of key regulators like the FSA, and strong partnerships with U.S.-based firms like Circle and Ripple, SBI VC Trade is positioning itself to be a leader in the stablecoin space in Japan and beyond.