SBI Holdings and Startale Group said on October 27 that they have signed a memorandum of understanding (MOU) with BlackRock Financial Management and BlackRock Japan to explore connecting tokenized money market funds (MMFs) with JPYSC, the yen-denominated trust-type stablecoin that SBI and Startale developed together.
The agreement is exploratory. SBI’s release does not name a BlackRock fund, a blockchain, or a timeline. BlackRock already operates BUIDL, its tokenized money market fund, which holds more than $2 billion in U.S. Treasuries, overnight repos and cash and is one of the largest funds of its kind.
Three Areas Under Review in the BlackRock, SBI, and Startale MOU
Under the MOU, the companies will examine the technical requirements and infrastructure needed to connect tokenized MMFs with JPYSC, possible business models and distribution through their networks, and regulatory developments affecting tokenized assets and stablecoins.
In the release, SBI Holdings chairman Yoshitaka Kitao described the shift to onchain finance as a global trend Japan cannot avoid, while BlackRock Financial Management managing director Jonathan Steel said the work is about building infrastructure that connects traditional finance with digital asset ecosystems. BlackRock Japan president Yukiko Hashimoto said advances in digital assets, including tokenization, are opening new possibilities for financial markets. Startale’s announcement also includes a statement from its CEO, Sota Watanabe.
Watanabe said regulatory developments in the United States are accelerating the shift toward tokenization and that “Japan must accelerate its efforts to remain at the forefront.” He described exploring a connection between JPYSC and tokenized MMFs as “an important step toward building the foundations of onchain finance.”
The release places the MOU within a broader effort to build infrastructure that integrates tokenized assets with stablecoins. Disruption Banking has covered other U.S. asset managers’ moves into tokenized money market products, including Invesco’s filing for a tokenized stablecoin reserve fund and Goldman Sachs’ decision to list a Treasury fund on Lynq.
JPYSC Launched in June Inside SBI VC Trade Accounts
JPYSC was first issued on June 24, 2026, by SBI Shinsei Trust Bank, with SBI VC Trade acting as issuance agent and sole distributor, according to the launch announcement. Because a trust bank holds and manages the backing assets, JPYSC is not subject to the 1 million yen limit on transfers and balances that applies to earlier funds-transfer-type stablecoins, whose reserves are not held in a bankruptcy-remote trust structure.
The announcement listed large-value transfers, cross-border payments, and institutional liquidity among JPYSC’s intended uses and said a lending service for holders was planned.
At launch, holders could not move JPYSC to external wallets. SBI and Startale said public-chain circulation would follow once its legal and tax treatment is clarified and regulators confirm it, adding that technical and operational preparations were complete. The October MOU release does not update that timeline.
Japan’s 2022 Payment Services Act Limits Who Can Issue Stablecoins
SBI’s release cites Japan’s amendments to the Payment Services Act as the legal basis for stablecoins in the country. The amendment, enacted in June 2022, allows only licensed banks, fund transfer agents, and trust companies to issue stablecoins and requires intermediaries that distribute them to register. Disruption Banking’s overview of Japan’s crypto rules covers the Financial Services Agency’s framework in more detail.
SBI said the collaboration is part of developing the infrastructure, distribution channels, and regulatory frameworks needed to connect tokenized assets with stablecoins under Japan’s existing stablecoin rules. Startale has been SBI’s technical partner on JPYSC since the stablecoin’s development and June 2026 launch. SBI Holdings later announced an investment that made Startale an equity-method affiliate, so the MOU brings BlackRock into a stablecoin that SBI Group entities already issue and distribute with Startale’s infrastructure. The release does not say when the three companies expect to finish their review.
Author: Ayanfe Fakunle
The editorial team at #DisruptionBanking has taken all precautions to ensure that no persons or organizations have been adversely affected or offered any sort of financial advice in this article. This article is most definitely not financial advice.
See Also:
BlackRock Paper Says AI Agents Could Add Demand for Stablecoins | Disruption Banking
Crypto Regulation in Japan 2025: From FSA Rules to Tokyo’s Web3 Hub | Disruption Banking
