BlackRock Financial Management and BlackRock Japan have signed a memorandum of understanding with SBI Holdings and Startale Group to explore connecting tokenized money market funds (MMFs) with SBI's Japanese yen-backed stablecoin JPYSC.
The partnership will examine potential across three areas: technology and infrastructure, business and distribution, and regulation and market development. The companies will also explore potential partners to advance on-chain finance development in Japan and internationally.
Strategic Focus on On-Chain Finance
Yoshitaka Kitao, chairman and president of SBI Holdings, stated that the shift to on-chain finance is becoming a global trend and that Japan must prepare early to lead this transformation rather than fall behind.
BlackRock Japan's president Yukiko Hashimoto noted that advances in digital assets and tokenization are opening new possibilities for financial markets and can deliver new value to investors in Japan.
Jonathan Steel, managing director at BlackRock Financial Management, described the collaboration as reflecting a shared commitment to connect traditional finance with digital asset ecosystems.
About JPYSC and SBI's Stablecoin Efforts
SBI Holdings and Startale launched JPYSC in June as Japan's first trust bank-backed yen stablecoin. SBI Shinsei Trust Bank manages issuance, while crypto exchange SBI VC Trade handles distribution.
SBI Holdings and Startale have also joined the Open Standard alliance to explore interoperability between JPYSC and OUSD stablecoins. Additionally, Ripple has tapped SBI Group to launch its RLUSD stablecoin in Japan through the licensed crypto exchange SBI VC Trade.
The MOU reflects broader efforts globally to develop financial infrastructure that combines tokenized assets with stablecoins, with integrating traditional financial products on blockchain rails requiring institutional custody solutions for tokenized assets.
