Japanese Corporate Bond Breaks New Ground With Stablecoin Payments
Startale Japan Co. Ltd. is the legal issuer of the bond, which is available only to individual and corporate investors in Japan. In the announcement shared with Bitcoin.com News, the new product is not being offered to investors overseas. Rather than using conventional payment rails for interest and redemption, the bond will distribute the stablecoin JPYSC throughout its lifecycle.
The arrangement provides another test of stablecoins in traditional financial products. JPYSC is designed to track the Japanese yen 1:1 and is classified as a Type 3 Electronic Payment Instrument under Japan’s Payment Services Act. SBI Shinsei Trust Bank issues the stablecoin and manages the trust assets backing it. SBI VC Trade serves as the issuance trustor and handles issuance and distribution, while the team at Startale Group supplies the underlying technology.
“By bringing finance onchain, we want to create new options for corporate fundraising and individual investment,” Startale Group CEO Sota Watanabe remarked. The Startale CEO described the bond as a pilot for using JPYSC in actual interest and principal payments and said the companies intend to use what they learn from the issuance to explore broader applications in Japan.
