Ondo and SBI to Tokenize Japanese Equities With Settlement in SBI Stablecoin JPYSC

Japanese stocks targeted for tokenization

Under the agreement, Ondo will tokenize Japanese stocks and make them available through SBI Group’s channels. Settlement for those transactions is set to take place in JPYSC, SBI’s yen-backed stablecoin, which the companies said is regulated under Japanese law.

The partnership links a company described as the world’s largest stock tokenizer with one of Japan’s best-known financial conglomerates. The stated aim is to support the development of institutional tokenization by combining product issuance, local market access, and a settlement mechanism denominated in yen.

Distribution through SBI’s ecosystem

The deal goes beyond Japanese equities. It also includes the distribution and cross-promotion of Ondo’s existing tokenized products to SBI’s customer base. Those products include tokenized US equities and fixed-income offerings.

That gives Ondo a potentially significant route into Japan through SBI’s established financial services ecosystem, while also extending SBI’s lineup of tokenized market products. The companies framed the collaboration as a way to connect on-chain assets with traditional financial distribution and infrastructure.

Role of JPYSC in the arrangement

A central part of the partnership is the use of JPYSC for settlement. By using a yen-denominated stablecoin, the companies are positioning the offering around local-currency settlement rather than requiring investors to rely on dollar-based instruments for transactions involving Japanese shares.

In practical terms, the structure is intended to pair tokenized equities with a domestically relevant settlement layer. The announcement also highlights the regulatory positioning of JPYSC under Japanese law, which SBI is using as part of its broader tokenized capital markets buildout.

Part of SBI’s wider tokenization strategy

According to the announcement, the new arrangement fits into SBI’s broader effort to assemble a full institutional tokenized capital markets infrastructure. The company said the initiative complements its existing holdings and partnerships in the sector.

For Ondo, the partnership expands access to a large institutional distribution channel and places its products within a yen-settled ecosystem. For SBI, it adds another component to its push to support tokenized financial products for institutional use.

The announcement points to a model in which tokenized Japanese equities, tokenized US stocks, and fixed-income products are distributed through a traditional financial group’s channels while using a stablecoin-based settlement rail tailored to the local market. The companies did not outline further launch timing or product details in the material provided.