coinspress.com
In a recent development, Circle has forged an alliance with SBI Holdings, a major force in Japan's financial landscape, aiming to strengthen its footprint within the country.
This collaboration, as per Circle’s announcement, involves a strategic Memorandum of Understanding inked with SBI Holdings. The core focus revolves around joint initiatives by SBI Group and Circle to promote wider circulation of USDC and foster the adoption of stablecoins across various sectors in Japan.
SBI VC Trade is actively pursuing registration as an electronic payment service provider within Japan, intending to facilitate seamless circulation of USDC stablecoins. This initiative aligns with Japan’s economic status, once positioned as the world’s third-largest economy, though anticipated to slide to the fourth spot this year, as projected by the International Monetary Fund.
Further augmenting this endeavor, SBI Shinsei Bank is poised to extend comprehensive banking services to Circle. This strategic move is expected to facilitate greater access and liquidity for USDC within Japanese businesses and for users across the region, as articulated in Circle’s official statement.
Notably, as part of SBI Group’s digital asset portfolio strategy, there are plans to integrate Circle’s Web3 Services suite, encompassing Programmable Wallet, blockchain infrastructure, and smart contract management tools.
Expressing his thoughts on this collaboration, Jeremy Allaire, the CEO, and co-founder of Circle, emphasized its significance as a testament to a shared vision for the future of digital currency. He views this partnership as a pivotal milestone in Circle’s expansion roadmap in Japan and across the broader Asia Pacific region.
This development follows Japan’s recent amendment to the Payment Services Act, aiming to establish regulatory frameworks specifically addressing stablecoins. The government’s primary goal was to fortify protections for investors in the wake of volatility witnessed in TerraUSD and similar instances.
SBI Holdings has been actively engaged in the cryptocurrency realm. Recently, the conglomerate collaborated with SC Ventures, the investment arm of Standard Chartered, to unveil a substantial $100 million crypto initiative in the United Arab Emirates.