The Tokyo Stock Exchange (TSE) will introduce a new clearing and settlement service designed specifically for over-the-counter (OTC) carbon credit transactions. The initiative aims to reduce the administrative burden of bilateral trading and support Japan’s Green Transformation (GX) strategy by enhancing market convenience. The service, titled the "Carbon
Metaplanet (TSE: 3350) has formally established a Sponsored Level I American Depositary Receipt (ADR) program, a strategic move aimed at streamlining access for U.S. investors and bolstering liquidity in North American markets. Effective December 19, 2025, the program has appointed Deutsche Bank Trust Company Americas as the depositary bank.
A consortium of six major Japanese financial and technology firms—including SBI Securities, Daiwa Securities, and SBI Shinsei Bank—have announced the launch of a collaborative project to verify real-world settlement of security tokens (ST) using tokenized deposits. The initiative aims to implement a Delivery Versus Payment (DVP) settlement scheme
SBI VC Trade and Aplus, both subsidiaries of the financial conglomerate SBI Group, will partner to launch a proof-of-concept (PoC) for in-store payments using the U.S. dollar-pegged stablecoin, USD Coin (USDC). The pilot program, scheduled to commence in the spring of 2026, aims to establish a new commercial model
The General Incorporated Association Japan Digital Decentralized Finance Association (JDFA) has been established on December 1, 2025, led by KPMG Japan, which has run study groups on cryptocurrency ETFs. It was created to guide the growth of new financial technologies in Japan by bringing together experts from across the industry.
Digital Garage has made a significant update to "App Pay," its third-party payment platform for mobile applications. The new user interface features a "Link-Out" capability designed to align directly with Japan's "Act on Promotion of Competition for Certain Smartphone Software" (Smartphone Act)
Amova Asset Management has announced a definitive agreement to acquire the remaining equity interest in AHAM Asset Management, moving to take full control of one of Malaysia’s leading fund management houses. In a strategic push to solidify its footprint in Southeast Asia, the Japan-headquartered firm will increase its stake
Sumitomo Mitsui Financial Group (SMBC Group) has unveiled an aggressive strategy to establish private asset management as a primary business pillar, targeting JPY 15 trillion in cross-asset management balances by 2031. In an announcement made on December 24, 2025, the Japanese banking giant outlined a comprehensive plan to leverage its
Nudge has announced the formation of the "Entertainment × Fintech Consortium," a strategic alliance designed to facilitate co-creation between the entertainment sector and domestic financial institutions. The initiative marks Japan’s first industry-spanning ecosystem aimed at integrating financial services with the entertainment business model. Strategic Overview Nudge formally launched
au Jibun Bank has moved to bolster its internet banking security infrastructure, announcing the deployment of "AI Zero Fraud," a proprietary detection system developed by cybersecurity firm LAC. The integration, which went live during December 2025, represents a strategic shift toward artificial intelligence to mitigate the rising risk
Sumitomo Mitsui Banking Corporation (SMBC) has further solidified its foothold in the Southeast Asian market, announcing on Monday the acquisition of an additional 4.46% equity stake in the Philippines' Rizal Commercial Banking Corporation (RCBC). The transaction, valued at PHP 6.4 billion (approx. JPY 17 billion), raises SMBC’
Welcome to the one hundred forty-third edition of the Japan FinTech Observer. We have done it! Not only is the Bank of Japan the only major central bank to raise its policy rate this year, it has done so twice. Well done, Ueda-san & team, leading us further down the
stablecoin
Startale, the Web3 fintech company and core developer behind the Soneium blockchain, has launched the Startale USD (USDSC), a new digital dollar designed to anchor the ecosystem’s financial infrastructure. The issuance leverages the stablecoin-as-a-service platform M0 to manage backend liquidity and compliance. The move signals a strategic shift for
artificial intelligence
MUFG Bank has formally adopted a data de-identification solution provided by Toronto-based Private AI to enhance its proprietary big data infrastructure, "OCEAN." The strategic move is designed to accelerate the bank’s utilization of unstructured data while maintaining rigorous privacy governance. Unlocking Unstructured Data for Generative AI MUFG
bnpl
Smooth, a FinTech startup disrupting the Japanese real estate market with its initial-cost installment payment service, has successfully completed the first close of its Series B funding round. The company has raised a total of approximately ¥2.85 billion (approx. USD 19.5 million), comprising both third-party equity allocation and
software engineering
JCB, Japan’s only international payment brand, has entered into a strategic AI partnership with IBM Japan to fundamentally restructure its core system development. By integrating IBM’s Generative AI platform, watsonx, JCB aims to transition away from traditional labor-intensive development models, positioning AI as a central "joint development
tokenized deposits
Transaction Media Networks (TMN) and digital currency operator DeCurret DCP have launched a strategic collaboration aimed at developing new settlement services for the distribution sector utilizing the digital currency DCJPY. The partnership seeks to integrate TMN’s established payment gateway infrastructure with DeCurret’s blockchain-based platform to accelerate the practical
artificial intelligence
Japan's new AI Basic Plan, released as a draft on December 19, is framed as a national "counteroffensive" designed to reverse a perceived lag in artificial intelligence investment and utilization. The strategy directly confronts long-standing domestic challenges—including population decline, labor shortages, and stagnant wages—by
regional revitalization
Released on December 18, 2025, the final report of the Financial Services Agency’s "Working Group on Strengthening Regional Financial Capabilities" outlines a comprehensive strategy to fortify Japan's regional banking sector against the headwinds of severe demographic decline and economic contraction. The document argues that for
artificial intelligence
The rapid emergence of Generative AI represents a monumental technological leap, but the long-term trajectory of its advancement now faces a critical threat: an impending data exhaustion problem. The vast, publicly accessible datasets that fueled the current generation of models are finite and are being consumed at an unsustainable rate.
neobank
NTT DOCOMO, Sumitomo Mitsui Trust Bank, and SBI Sumishin Net Bank have decided to change the latter's trade name to "DOCOMO SMTB Net Bank" effective Monday, August 3, 2026. This name change is subject to approval by the relevant authorities. Additionally, with the aim of further
qr code
Japan Post Bank has officially announced that it will be discontinuing the Yucho Pay service. While the service has been running since 2019, the bank has decided to wind down operations over the next year. Previously, Uniqlo announced that it would be shutting down "UNIQLO Pay," the QR
insider trading
Japan’s Financial Services Agency took a decisive step toward tightening the reins on capital market misconduct today as the Financial System Council’s Market System Working Group convened to finalize its draft report. In a session characterized by broad consensus among legal experts, academics, and industry representatives, the council
NBFC
MUFG Bank, a consolidated subsidiary of Mitsubishi UFJ Financial Group, has entered into an investment agreement with Shriram Finance, a leading non-banking financial company (NBFC) in India, and its major shareholders, Shriram Ownership Trust and Shriram Capital, to subscribe to a preferential allotment of 20% in equity shares in Shriram