USDC Set to Go Live in Japan via SBI VC Trade
Circle, the issuer of the USDC stablecoin, is expanding its presence in Japan as part of a broader strategy to increase adoption of U.S. dollar-backed digital assets in Asia. On March 26, Japanese crypto exchange SBI VC Trade will officially launch USDC trading, making it the first stablecoin approved under Japan's updated regulatory framework.
This development follows the establishment of Circle Japan KK, a local subsidiary created to manage operations and regulatory compliance. The initiative builds on a strategic partnership between Circle and SBI Holdings, which began in 2023 and integrates USDC with banking infrastructure and Web3 development efforts across Japan.
In addition to SBI VC Trade, major Japanese exchanges including Binance Japan, Bitbank, and BitFlyer are preparing to list and distribute USDC in the near future. The move signals growing institutional support for dollar-pegged stablecoins in Japan’s traditionally cautious regulatory environment.
Wider Implications for Japan’s Digital Asset Landscape
Circle CEO Jeremy Allaire described the launch as a major step toward unlocking USDC’s use in payments, FX settlements, and cross-border finance. Analysts say the rollout could encourage Japanese corporations to develop stablecoin-based financial services, including custody solutions and programmable payments.
However, the launch comes at a time of sustained weakness in the Japanese yen. Analysts at Tiger Research noted that easier access to USDC may prompt investors to shift out of yen-denominated assets, particularly if interest rate differentials with the U.S. remain wide. This could contribute to increased selling pressure on the yen and higher demand for dollar-backed assets.
While Japan still prohibits trust-based yen stablecoins, the approval of USDC may accelerate future regulatory updates. The country’s evolving stance echoes a regional trend as countries race to modernize financial systems with blockchain-based infrastructure.
