BlackRock has signed an agreement with SBI Holdings and Startale Group to explore connecting tokenized money market funds to JPYSC, a stablecoin denominated in Japanese yen, as part of research into infrastructure for blockchain-based financial services in Japan.
According to a statement from SBI Holdings and Startale Group dated October 27, BlackRock Financial Management and BlackRock Japan signed a memorandum of understanding to explore potential cooperation. The agreement covers technical development, business opportunities, and regulatory requirements, but the companies have not yet announced a commercial launch.
Meanwhile, the proposed scheme would combine tokenized investment products and a yen-based payment instrument within a single financial infrastructure. The announcement does not specify a particular BlackRock fund for integration, a blockchain network, or timelines for completing the work.
BlackRock partnership targets tokenized funds and JPYSC
Under the agreement, the companies will explore how tokenized money market funds can interact with JPYSC through blockchain infrastructure. Their work will cover the systems needed to support transactions, potential distribution channels, and the rules governing access to the proposed services.
SBI Holdings will bring banking, brokerage, and digital operations to the discussions, while Startale will contribute blockchain development capabilities. BlackRock’s participation includes its U.S. financial asset management arm and its Japanese subsidiary, giving the project access to the asset manager’s expertise with investment funds.
The participants plan to consult with financial institutions and other companies in Japan and abroad while developing potential operating models. The announcement did not disclose investment amounts, deal counts, or financing terms.
BlackRock Japan President Yukiko Hashimoto said digital assets and tokenization could create new opportunities for investors in Japan.
“At BlackRock, we believe these innovations can help develop financial markets and bring new value to investors in Japan,” she said, adding that the company will contribute its global expertise to this collaboration.
SBI and Startale build on existing stablecoin projects
SBI and Startale had already partnered to create financial infrastructure designed to support tokenized securities. In February, the companies unveiled Strium — a blockchain designed for trading tokenized stocks, currency products, and other financial assets.
Their work on stablecoins continues through JPYSC, which uses a trust bank issuance structure. SBI Shinsei Trust Bank handles issuance, while SBI VC Trade provides distribution services through the group’s regulated digital asset operations.
Recently, SBI and Startale announced plans to explore interoperability between JPYSC and Open USD. The stablecoin interoperability proposal, put forward in October, is part of SBI’s ongoing work on digital payment and settlement infrastructure.
SBI Holdings Chairman and President Yoshitaka Kitao characterized the growing use of blockchain in financial markets as a development Japan needs to prepare for.
"The shift to blockchain-based finance is becoming an inevitable global trend," he said, adding that SBI Group will continue developing financial products and services to support this transition.The agreement with BlackRock concerns a different category of financial products. Money market funds hold short-term financial instruments, and tokenized fund shares represent investment interests governed by the applicable fund rules, unlike stablecoins designed to maintain value in a reference currency.
