On March 24, 2025, Cointelegraph reported that Circle, the issuer of the world’s second-largest stablecoin, will launch USDC in Japan on March 26, 2025, in partnership with SBI VC Trade, a subsidiary of the financial giant SBI Holdings. This marks the first time USDC, a dollar-pegged stablecoin, enters the Japanese market under a new regulatory framework from the Japan Financial Services Agency (JFSA). Set to debut just two days from now, this launch is a pivotal moment for the stablecoin market, promising to reshape Japan’s digital finance landscape and bolster Circle’s global presence.
USDC in Japan: A Groundbreaking Entry
Since launching in 2018, USDC has become a key player in crypto. By March 2025, its market cap exceeded $58 billion. Pegged 1:1 to the U.S. dollar, it is backed by transparent reserves. USDC is widely used for crypto trading, DeFi, and cross-border payments. In Japan, it debuted through SBI VC Trade, a licensed exchange under SBI. This move follows Japan’s updated regulations in February 2025. The new rules now allow approved entities to issue and trade stablecoins.
SBI VC Trade, granted status as an Electronic Payment Instruments Service Provider by the JFSA, will be the first platform in Japan to list USDC. The rollout begins on March 26 with a select group of users, with plans for broader access soon after. Circle’s CEO, Jeremy Allaire, hailed this as a “major step forward for a trusted digital dollar in a highly regulated market,” signaling a new chapter for stablecoin adoption in Asia’s third-largest economy.
Why Japan Matters to Circle
Japan has long been a leader in blockchain and cryptocurrency adoption, boasting a robust legal framework and a tech-savvy population. However, strict regulations previously limited stablecoin usage, confining the market to native cryptocurrencies like Bitcoin and Ethereum. The JFSA’s recent policy shift has unlocked this potential, making Japan an attractive target for Circle. With over 125 million people and a top-tier global economy, Japan offers a fertile ground for expanding the Circle stablecoin into payments, e-commerce, and financial innovation.
Partnering with SBI Holdings, a powerhouse in Japanese finance with a strong blockchain track record, gives Circle a significant edge. SBI VC Trade’s infrastructure and regulatory approval ensure USDC meets Japan’s stringent standards, while SBI’s extensive network amplifies its reach across traditional and digital finance sectors.
Benefits of USDC for Japanese Users
The launch of USDC in Japan brings tangible advantages. Amid global inflation pressures and yen fluctuations, USDC offers a stable store of value tied to the U.S. dollar, appealing to individuals and businesses alike. Its low-cost, near-instant transaction capabilities make it ideal for cross-border payments, a critical need in Japan’s export-driven economy. For small and medium enterprises, USDC could streamline remittances and reduce reliance on slower, costlier banking systems.
SBI VC Trade plans to integrate USDC into its broader financial services, from crypto trading to international transfers. This versatility positions USDC as a bridge between cryptocurrencies and traditional finance, fostering innovation in Japan’s fintech sector. For crypto enthusiasts, USDC also opens doors to global DeFi platforms, enhancing Japan’s connectivity to the decentralized economy.
Impact on the Global Stablecoin Market
Circle’s entry into Japan strengthens its position in the stablecoin market. Tether (USDT) leads with a market cap of over $140 billion. Meanwhile, USDC is gaining ground by focusing on regulated markets like Japan, Canada, and the EU. Japan’s approval could set a precedent for other Asian nations. Countries like South Korea or Singapore may adopt stablecoins under clear legal frameworks. This shift could further drive market growth.
This move intensifies competition with Tether, especially as regulatory scrutiny over transparency tightens globally. Circle’s emphasis on compliance and audited reserves gives USDC an edge in markets prioritizing trust and stability, making Japan a key battleground in the stablecoin race.
The Future of USDC in Japan
Circle’s plans extend beyond SBI VC Trade. The company has hinted that other major Japanese exchanges will soon list USDC, broadening its adoption. Additionally, Circle Japan KK, a local subsidiary, is being established to deepen its footprint and drive digital finance innovation. This long-term commitment suggests Circle aims to make USDC a staple in Japan’s financial ecosystem, from retail payments to institutional use cases.
Conclusion
Circle’s launch of USDC in Japan on March 26, 2025, is a landmark event for both the company and the cryptocurrency industry. Backed by SBI VC Trade and Japan’s progressive regulations, USDC is poised to transform how the Japanese engage with digital finance. As the stablecoin market continues to expand, this debut underscores Circle’s ambition to lead the charge in regulated economies. With its blend of stability and innovation, USDC in Japan could redefine digital transactions—watch this space as Circle takes on Asia’s financial frontier.
