SBI and Startale join Visa- and Mastercard-backed Open Standard to test a yen-dollar stablecoin link

Japan’s SBI Holdings and Startale Group have joined Open Standard, the stablecoin alliance backed by Visa, Mastercard, Stripe, Coinbase and Shopify, and plan to test whether SBI’s yen stablecoin JPYSC can work with the alliance’s dollar-backed OUSD.

The companies announced the move on October 16. No launch date has been set, and the plan is currently a proof of concept.

Yen-Dollar stablecoin settlement gains institutional support

The announcement brings together SBI Holdings, a major Japanese financial services group, and Startale Group, a blockchain infrastructure developer, in an effort to connect two stablecoin ecosystems representing the yen and the U.S. dollar.

Under the proposed arrangement, JPYSC and OUSD would be examined for their ability to work together across blockchain-based financial infrastructure.

If the technical and regulatory requirements can be met, this connection could offer institutions another way to transfer value between the two currencies without depending entirely on conventional foreign-exchange settlement processes.

Open Standard was established in 2026 to promote OUSD as a shared settlement option for digital financial transactions. Its founding partners include Coinbase, Mastercard, Shopify, Stripe and Visa.

The alliance has since expanded to include more than 200 financial institutions, fintech companies and other businesses, according to the announcement.

However, Yen-Dollar Stablecoin Settlement is still a proposed technical initiative, rather than an operating payment service.

SBI Holdings chairman and president Yoshitaka Kitao described the initiative as part of the group’s broader digital finance strategy.

JPYSC and OUSD: what investors need to know

The proposed pilot centres on two digital assets with different currency exposures and institutional foundations.

JPYSC is a yen-backed, trust-type stablecoin issued by SBI Shinsei Trust Bank. It was introduced in June 2026 as part of SBI’s effort to develop regulated digital payment infrastructure in Japan.

The token is designed to support yen-denominated transfers and potentially facilitate transactions involving tokenised assets and international payments.

OUSD, meanwhile, is the U.S. dollar-denominated stablecoin associated with Open Standard. Its role within the alliance is to provide a common digital settlement layer that participating businesses can potentially integrate into their platforms.

The planned Yen-Dollar Stablecoin Settlement framework would explore whether these assets can interact efficiently, enabling digital transfers between yen and dollar environments.

Developers must establish how transfers are authorised, how the assets are exchanged, and how transactions comply with the relevant financial rules. Redemption arrangements, reserve safeguards, transaction monitoring and technical compatibility are also important considerations.

Startale Group CEO Sota Watanabe welcomed the opportunity to examine the connection between the two stablecoins.

In the official announcement, Watanabe said, in translation, that an environment allowing JPYSC and OUSD to be exchanged and used smoothly onchain could improve yen-dollar settlement efficiency and support a broader range of financial services.

Yen-Dollar stablecoin settlement and Asia’s digital finance strategy

The initiative builds on SBI and Startale’s existing work to expand the practical applications of regulated stablecoins.

In July 2026, SBI Global Asset Management, DigiFT Tech and Startale announced a proof-of-concept exercise involving JPYSC and the settlement and distribution of payments associated with tokenised securities.

Japan has also been exploring ways to strengthen the role of yen-denominated stablecoins in regional financial activity. In June 2026, a panel associated with the country’s ruling Liberal Democratic Party called for greater promotion of yen stablecoins in Asia, reflecting wider interest in their potential use for settlement.

The SBI-Startale initiative therefore sits within a broader shift towards digital representations of money and assets. Its significance will depend not just on the technology but also on whether banks, businesses and financial service providers are willing to adopt the resulting infrastructure.

What comes next for Yen-Dollar stablecoin settlement?

Despite the announcement, several important steps remain before the proposed system could become commercially operational.

SBI Holdings and Startale have not announced a launch date for a live settlement service. Their current plan is to explore a proof of concept for interoperability between JPYSC and OUSD.

The companies must still assess technical feasibility, regulatory requirements and whether the arrangement would deliver meaningful cost and efficiency benefits.

The announcement does not confirm the start of live transactions, the availability of a new trading pair, or a new investment opportunity. It describes an investigation into how two stablecoin systems might work together.

The alliance with Open Standard could nevertheless give SBI and Startale access to a broader network of financial institutions and technology providers.

If the initiative progresses, Yen-Dollar Stablecoin Settlement could help connect Japan’s regulated yen-based digital money with international dollar-based payment infrastructure.

Yen-Dollar Stablecoin Settlement represents a potential step towards more connected digital payment systems, rather than a completed transformation of international finance.

Its long-term value will depend on reliable technology, regulatory approval, commercial demand and the ability to demonstrate measurable advantages over existing payment methods.

The announcement signals continued institutional interest in stablecoin interoperability. Whether that interest translates into a widely used settlement network remains to be seen.