BlackRock, SBI and Startale explore linking tokenized funds to Japanese yen stablecoin
What BlackRock, SBI and Startale announced
BlackRock, SBI Holdings and Startale have signed a memorandum of understanding to explore connecting tokenized money market funds with SBI's Japanese yen-pegged stablecoin called JPYSC. The agreement was signed by BlackRock Financial Management and BlackRock Japan, SBI Holdings and Startale Group. An MOU is a non-binding document that signals all three parties want to explore a project before agreeing to a formal deal.
The three companies said the talks would cover technology and infrastructure, business and distribution, and regulation and market development. They said the collaboration would be open to other financial institutions and businesses in Japan and abroad.
Key points from the announcement
- BlackRock, SBI Holdings and Startale signed an MOU to study linking tokenized money market funds with the yen stablecoin JPYSC.
- Discussions will cover technical infrastructure, business models and distribution, plus regulation and market development.
- SBI and Startale called moving finance onchain an unavoidable global trend and said Japan should build foundations early.
- BlackRock's tokenized fund BUIDL holds around $2.17 billion in U.S. Treasurys, overnight repos and cash.
- JPYSC launched in June this year as Japan's first trust bank-backed yen stablecoin.
What the companies said about why this matters
SBI Holdings chairman and president Yoshitaka Kitao said the shift toward onchain finance is becoming an unavoidable global trend, adding that if Japan wants to lead the change it must prepare early. He said the next step is to develop the infrastructure, distribution channels and regulatory frameworks needed to connect tokenized assets with stablecoins and support wider adoption.
The source explains that Japan has already built part of that regulatory groundwork. In 2022, Japan amended its Payment Services Act to create a legal framework for stablecoins, with the rules taking effect a year later. Under those rules, fiat-backed stablecoins are classified as Electronic Payment Instruments and only licensed banks, trust companies and registered money transfer services may issue them.
What is known about the two products
BlackRock launched its tokenized fund BUIDL in 2024. According to the source, BUIDL has grown to one of the largest tokenized funds of its kind, holding around $2.17 billion in U.S. government debt, overnight repurchase agreements and cash. These tokenized funds are funds represented as digital tokens on a blockchain, which is a shared public ledger that records transactions.
SBI and Startale launched JPYSC in June this year as Japan's first stablecoin backed by a trust bank. A stablecoin is a digital token designed to hold a stable value, in this case tied to the Japanese yen. SBI Shinsei Trust Bank manages the issuance of the coin, while SBI VC Trade, a licensed crypto exchange, handles its distribution.
What is still unclear
The source does not say when the companies expect to finish their review or whether they have decided to proceed with any technical or business integration. Because an MOU is an exploratory step, no firm commitment to launch a product has been announced.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.