The Japan Blockchain Foundation has intensified competition in Japan’s stablecoin sector through plans to launch the EJPY Stablecoin, a yen-backed digital token expected to operate on both Japan Open Chain and the Ethereum blockchain. The project remains subject to regulatory approval, but the initiative is already being viewed as a major step toward integrating regulated digital yen payments into Japan’s growing blockchain ecosystem.
The proposed stablecoin is expected to support several use cases, including business transactions, digital settlements, remittances, and broader Web3-related payment applications. The Japan Blockchain Foundation oversees the enterprise consortium behind Japan Open Chain, an Ethereum-compatible Layer 1 blockchain designed to combine public blockchain functionality with trusted Japanese corporate validators.
By linking blockchain infrastructure with regulated yen settlements, the foundation aims to create a framework capable of supporting enterprise-grade digital payments within Japan’s evolving financial technology sector.
The EJPY Stablecoin is designed to connect regulated yen settlements with blockchain infrastructure, targeting enterprise payments, remittances, and Web3 applications.
Enterprise Blockchain Infrastructure Gains Momentum
Japan Open Chain currently operates with 14 validators, including major Japanese corporations such as Dentsu, NTT Communications, SBINFT, Pacific Meta, G.U. Technologies, and Nethermind. The consortium also plans to expand its validator network to 21 participants as adoption grows.
The blockchain network has continued expanding its domestic presence, with its native JOC Coin securing a trading listing on the Japanese exchange Zaif in February 2026. The latest EJPY initiative is expected to further strengthen the role of Japan Open Chain within the country’s blockchain payment infrastructure.
According to the foundation, the stablecoin will initially launch on Japan Open Chain before extending support to Ethereum. The organization also indicated that additional blockchain integrations may be considered in the future. This multi-chain approach could allow EJPY to serve both domestic enterprise users and the broader international Web3 payments market.
The stablecoin will reportedly operate under a trust-type structure, with the Japan Blockchain Foundation acting as the settlor. Discussions have already begun with potential trustee firms regarding issuance procedures, redemption mechanisms, legal compliance, trust asset management, and system architecture.
Trust Structure Could Support Large Business Payments
Industry analysts believe the trust-based structure may provide advantages for large-scale corporate settlements. Under Japan’s regulatory framework, certain fund transfer models reportedly face transaction caps of up to 1 million yen. Trust-type stablecoins may avoid those restrictions, potentially making them more attractive for enterprise payment use cases.
Large corporations typically require reliable redemption systems, transparent legal structures, and efficient settlement mechanisms before adopting blockchain-based payment tools. The EJPY initiative appears positioned to address these concerns by focusing on regulated digital yen transfers designed for institutional and commercial usage.
The trust-type model behind EJPY could help overcome transfer limitations associated with some existing payment structures, potentially improving large-value business settlements.
Despite the progress, the foundation has not yet disclosed its trustee partners, final launch timeline, or additional operating collaborators.
Japan’s Stablecoin Competition Intensifies
Japan introduced a clearer regulatory framework for stablecoins in 2023, encouraging several companies and financial institutions to explore yen-backed digital payment products. Since then, competition within the sector has steadily increased as businesses seek to establish blockchain-based financial infrastructure.
JPYC launched Japan’s first yen-backed stablecoin in October 2025, using yen deposits and Japanese government bonds as reserves. Meanwhile, SBI Holdings and Startale Group have continued developing JPYSC under Japan’s Type III regulatory framework, focusing primarily on institutional payment services and enterprise settlements.
Japan’s Financial Services Agency has also supported stablecoin initiatives involving major banking institutions such as MUFG, SMBC, and Mizuho. Against this backdrop, EJPY enters a rapidly developing race to bring regulated yen payments onto blockchain networks.
The launch of EJPY reflects Japan’s accelerating effort to establish regulated blockchain-based yen payment systems for both domestic enterprises and the broader digital economy.