Key Highlights
- SBI Holdings and Startale Group signed a memorandum of understanding with BlackRock Financial Management and BlackRock Japan on October 27, 2026, to explore connecting tokenized money market funds with JPYSC, Japan’s yen-denominated trust-type stablecoin.
- The exploratory agreement covers three major areas without naming specific BlackRock funds.
- JPYSC, launched in June 2026 as Japan’s first trust bank-backed yen stablecoin, has reached roughly 20.7 billion tokens worth about $131.5 million, while BlackRock’s tokenized BUIDL fund holds approximately $2.17 billion in assets.
On October 27, 2026, SBI Holdings and Startale Group signed a memorandum of understanding with BlackRock Financial Management and BlackRock Japan. The agreement focuses on exploring a digital asset ecosystem that connects tokenized money market funds with JPYSC, Japan’s yen-denominated trust-type stablecoin.
The collaboration brings together BlackRock’s global asset management expertise, SBI’s financial services and regulatory experience in Japan, and Startale’s blockchain infrastructure capabilities. It aims to advance on-chain finance in Japan and beyond.
BlackRock, SBI and Startale Team Up to Link Tokenized Funds With Japan’s Yen Stablecoin
The parties will examine connectivity across three main areas. First is technology and infrastructure, covering the technical requirements needed to link tokenized money market funds with JPYSC. Second is business and distribution, including potential models and channels that draw on each firm’s networks and market access. Third is regulation and market development, assessing the legal and market environment for tokenized assets and stablecoins.
The MOU is exploratory. It does not name specific BlackRock funds, designate a blockchain network, or set a commercial launch timeline. The collaboration is designed to remain open to additional financial institutions and businesses in Japan and internationally.
Tokenized Money Market Funds Meet JPYSC
JPYSC launched on June 24, 2026, as Japan’s first trust bank-backed yen stablecoin. SBI Shinsei Trust Bank handles issuance and manages the segregated trust reserves. SBI VC Trade, a licensed crypto exchange, manages distribution. Startale provides the core technical development.
It is structured as a Type III Electronic Payment Instrument under Japan’s Payment Services Act. Unlike earlier fund-transfer-type stablecoins, it is not subject to the one-million-yen transaction and balance limits. Reserves include cash and short-term Japanese government bonds. As of late October 2026, circulating supply stood at approximately 20.7 billion tokens, valued at around $131.5 million.
Earlier proof-of-concept work by SBI and Startale demonstrated near-instant settlement using JPYSC and automated on-chain dividend distribution for a tokenized equity fund.
BlackRock’s Tokenized Fund Footprint
BlackRock launched its flagship tokenized fund, BUIDL, in 2024. The fund holds about $2.17 billion in U.S. Treasuries, overnight repurchase agreements, and cash, making it one of the largest tokenized money market products. BlackRock has expanded tokenized offerings across multiple networks.
Yoshitaka Kitao, Representative Director, Chairman and President of SBI Holdings, stated that “If Japan is to lead this transformation rather than fall behind, we must prepare early and build the foundations for the next generation of financial markets. With this in mind, SBI Group issued JPYSC, Japan’s first trust-type yen-denominated stablecoin, while group companies, including SBI Global Asset Management, have been developing a range of new onchain products and services. Through this collaboration with BlackRock and Startale, we will accelerate these efforts and help drive the transformation of financial markets in Japan and around the world.”
Sota Watanabe, CEO, Startale Group Pte. Ltd., mentioned that “In the United States, regulatory developments led by the SEC are accelerating the shift toward tokenization and onchain finance, with traditional financial assets increasingly moving onto blockchain infrastructure. This transformation is irreversible, and Japan must accelerate its efforts to remain at the forefront of this shift. Together with BlackRock and SBI Group, we aim to unlock the potential of this partnership and help advance onchain finance from Japan to the world.”
The agreement comes amid aggressive efforts in Japan to develop regulated infrastructure for tokenized assets and stablecoins following the country’s stablecoin legal framework. Connecting yield-bearing tokenized funds with a yen-denominated stablecoin could support more efficient onchain settlement, payments, and institutional use cases without relying solely on traditional banking rails.
