Japan Post Bank Targets 2026 for DCJPY Token Rollout

- Plans to launch DCJPY deposit token in fiscal year 2026 to streamline securities settlement. - Initiative targets younger demographic with faster transactions and access to tokenized assets. Japan Post Bank, Japan’s largest holder of retail deposits, will introduce a DCJPY deposit token in fiscal year 2026 as part of its broader strategy to establish a tokenized asset network. According to a report by The Block on August 31, 2025, the initiative will allow the bank’s 120 million account holders to convert their savings into digital tokens to streamline securities transactions. The primary goal of the rollout is to significantly reduce settlement times for securities transactions, processing transfers that currently take several days almost instantaneously. The bank expects this efficiency to appeal to a younger demographic, a key target audience for the initiative. In addition, the DCJPY token will allow depositors to purchase tokenized securities with projected returns ranging from 3% to 5%. Unlike stablecoins, the DCJPY is a deposit token that operates on a permissioned network. It directly represents bank deposits, which makes it distinct from cryptocurrencies often tied to external collateral. The Japanese firm DeCurret DCP developed the network for the DCJPY deposit token, with support from major financial institutions including Mitsubishi UFJ Financial Group (MUFG). So far, GMO Aozora Net Bank is the only other bank announced as a minting institution for the DCJPY, although other banks have participated in proofs of concept. Japan Post Bank’s initiative is part of Japan’s broader move toward financial digitization. This national effort includes improving stablecoin regulations and discussing potential revisions to the nation’s cryptocurrency tax frameworks. Together, these measures reflect Japan’s efforts to modernize its financial system and integrate emerging technologies into traditional banking operations.