Japan’s largest financial group has entered the tokenized equity race with a marquee partner. SBI Group and Ondo Finance unveiled a strategic partnership to bring Japanese equities onchain. The deal also plugs Ondo’s tokenized product suite into SBI’s distribution network. Additionally, settlement across the ecosystem will run on JPYSC, SBI’s yen-backed regulated stablecoin. The announcement lands on July 16, 2026, and marks one of the largest institutional tokenization deals in Japan.
We're excited to announce a partnership with SBI Group, one of Japan's leading financial institutions.
— Ondo Finance (@OndoFinance) July 16, 2026
The collaboration covers tokenizing Japanese assets with distribution across the SBI ecosystem, and settlement using the JPYSC stablecoin.
Ondo CEO Ian De Bode on the… pic.twitter.com/Kp4twvDeZo
The Deal in Plain Terms
SBI CEO Yoshitaka Kitao described Ondo as “a global leader in tokenization of real-world assets.” Ondo CEO Ian De Bode called Japan “one of the most sophisticated capital markets in the world.” Together, the two firms will build a two-way bridge between Japan’s capital markets and the global tokenized economy. Ondo Global Markets (BVI) Limited will issue the tokenized instruments themselves. Meanwhile, SBI provides regulated distribution, custody relationships, and settlement infrastructure. As a result, eligible investors gain onchain access to Japanese shares alongside Ondo’s broader RWA catalog.
Bringing Japanese Equities Onchain
The core of the agreement targets Japan’s public equity market, home to some of the world’s largest issuers. Tokenization allows eligible investors to hold onchain representations of traditional Japanese shares. Additionally, the structure supports faster settlement, fractional ownership, and composability with onchain applications. Japanese companies rank among the top global names in autos, robotics, gaming, and industrials. However, foreign demand for Japanese equity exposure has historically flowed through slow cross-border rails. Bringing these assets onchain compresses that friction and opens near round-the-clock access.
JPYSC as the Settlement Layer
JPYSC sits at the center of the partnership’s settlement architecture. SBI issues the token under Japan’s regulated stablecoin framework, which took effect in 2023. Under the deal, JPYSC serves as the primary asset for payments and collateral across the ecosystem. In turn, using a native yen stablecoin cuts settlement times and reduces counterparty friction. It also gives tokenized Japanese equities a matching-currency rail, rather than routing through dollar stablecoins. Notably, most tokenized RWA markets today settle in USD stablecoins such as USDC or PYUSD. JPYSC gives Japanese investors a familiar unit of account onchain. As a result, domestic activity in tokenized equities can avoid unnecessary FX conversion.
Distribution Across SBI’s Ecosystem
SBI is not a single brokerage. Instead, it runs one of Japan’s largest financial conglomerates, spanning banking, securities, asset management, insurance, and crypto. Its securities arm serves millions of Japanese retail investors. Its crypto footprint includes SBI VC Trade and, more recently, the acquired Bitbank exchange. As a result, Ondo’s tokenized products gain immediate exposure to a large domestic investor base. In addition, SBI’s institutional relationships open doors to Japanese asset managers, pensions, and corporates. This distribution reach is the practical value that Ondo secures in the arrangement.
Ondo Global Markets and the RWA Position
Ondo Finance has become one of the largest issuers of tokenized real-world assets. Its flagship products include OUSG, a tokenized U.S. Treasury fund, and USDY, a yield-bearing stablecoin. Under founder Nathan Allman, who passed away in May 2026, Ondo grew total value locked to roughly $3.5 billion. Since then, Ian De Bode has stepped in as CEO and expanded the tokenized equity catalog. Ondo Global Markets recently added 173 tokenized stocks and ETFs, pushing the platform past 430 total assets. The SBI deal now extends this catalog to Japanese equities and to Japan’s largest distribution network.
Why Japan and Why Now
Japan holds one of the world’s deepest capital markets, second only to the U.S. by public equity market cap. However, the country has moved deliberately on digital assets under its Financial Services Agency, which favors licensed pathways. SBI has spent years building blockchain infrastructure across payments, stablecoins, and custody. In parallel, the group has partnered with the Solana Foundation to develop onchain financial market infrastructure. SBI Global Asset Management also launched the JX tokenized Japanese equity strategy on Solana with DigiFT. Meanwhile, Japan’s regulated stablecoin framework cleared the path for compliant issuers such as JPYSC. The Ondo deal now adds a global RWA specialist to that stack. It aligns distribution, tokenization, and settlement in a single, yen-native loop.
What to Watch Next
Several open questions will shape how this partnership plays out. First, the announcement did not name the specific Japanese stocks or ETFs launching first. Second, the issuing blockchain network is not yet public, although Ondo has deployed on Ethereum, Solana, and other chains. Third, eligibility rules for retail versus institutional access remain to be defined. Additionally, the interplay with SBI’s separate DigiFT and Solana tokenized fund matters for onchain liquidity. Investors should watch for the first live tokenized issue and the pricing feeds selected. Also worth watching: the initial pool of eligible participants and any FSA guidance that follows.
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