The Japan Blockchain Foundation is set to launch EJPY, a yen-backed stablecoin that will enhance Japan’s regulated digital finance infrastructure.

Designed primarily for business settlements, remittances, and digital asset payments, EJPY aims to support real-world commercial activities rather than retail speculation.

EJPY will launch on two blockchain platforms i) Japan Open Chain ii) Ethereum. Japan Open Chain is an Ethereum-compatible Layer 1 blockchain operated by major Japanese corporations and telecom groups, including NTT Communications, Dentsu, and SBINFT. This network combines public blockchain interoperability with enterprise-focused infrastructure.

The dual-chain strategy serves distinct purposes.

Japan Open Chain aims to improve the efficiency of domestic businesses. Ethereum offers global interoperability and wider blockchain connectivity.

The foundation has also indicated plans to explore future multi-chain compatibility to further expand EJPY’s reach.

Earlier in 2026, SBI Holdings introduced its own trust-type stablecoin initiative. Major Japanese banks, including MUFG, SMBC, and Mizuho, have also explored tokenised deposits and stablecoin pilots.

Trust-type legal structure and regulatory compliance

EJPY introduces a trust-type legal structure that aligns with Japan’s updated stablecoin regulations. 

The foundation acts as the settlor, with trust assets managed separately.

With this framework, EJPY eliminates the transaction-size limitations of earlier Japanese stablecoins, which restricted transfers to 1 million yen.

This allows EJPY to adhere to Japan’s laws while supporting blockchain payments for genuine commercial activities beyond crypto trading.

The stablecoin is designed to facilitate business-to-business (B2B) settlements, cross-border remittances, digital asset payments, and web3 payment services.

Japan’s expanding role in regulated digital finance

In 2023, Japan introduced stablecoin laws, making it one of the most regulated crypto markets globally.

Earlier projects like JPYC tested domestic demand, but EJPY takes it further with its trust structure and dual-chain deployment.

For developers, EJPY offers new opportunities in tokenised payments, real-world asset tokenisation, and enterprise Web3 applications built on Japan Open Chain. For investors, it signals growing institutional confidence in blockchain-based payment infrastructure across Asia.

This launch shows a global trend toward local-currency stablecoins, as countries and financial institutions seek alternatives to dollar-based assets such as USDC and USDT.