Japanese convenience-store giant Lawson is set to trial yen-denominated stablecoin payments at a store in Tokyo this August, marking a significant step in the integration of digital currencies into mainstream retail. The pilot, conducted in partnership with blockchain firm HashPort and telecom group KDDI, aims to test whether stablecoin payments can function seamlessly within a standard convenience store checkout process. This initiative is part of a broader push by Japanese companies to leverage the country's regulatory framework for stablecoins, which was established in June 2023.
Lawson's stablecoin payment trial
The trial will take place at the Lawson Takanawa Gateway City store, where participants will use HashPort's non-custodial wallet to make payments. The store will process transactions through HashPort's point-of-sale system, eliminating the need for the retailer to open or manage crypto wallets. This approach is designed to shield merchants from the operational complexity often associated with accepting digital assets. The companies plan to evaluate integration requirements, checkout operations, payment processing times, and wallet usability before considering broader applications across other locations.
Lawson is Japan's second-largest convenience store chain, with nearly 14,000 outlets nationwide. A successful trial could pave the way for widespread adoption of stablecoin payments in retail, especially given the high frequency of small-value transactions at convenience stores. HashPort's non-custodial wallet ensures that users retain control of their private keys, aligning with the decentralized ethos of blockchain technology while providing a user-friendly interface for everyday purchases.
Netstars launches Stablecoin Pay for merchants
On the same day, Japanese payments company Netstars launched Stablecoin Pay, a commercial service that enables merchants to accept multiple stablecoins as payment options. The service initially supports USDC, USDT, and the yen-denominated JPYC on the Solana and Polygon networks, with MetaMask as the supported wallet. Netstars has set the merchant payment fee at 0.98% and plans to add more wallets and blockchains in the future. Merchants can use existing payment terminals in most cases and handle product pricing, sales records, and settlement in yen, even when customers pay with dollar-denominated stablecoins. This eliminates the need for merchants to hold crypto assets or manage exchange rate fluctuations.
The launch follows Netstars' earlier pilots involving USDC payments at Tokyo's Haneda Airport from January to February and at a trading-card store in Himeji from April. The move from limited tests to a full-fledged merchant service reflects growing confidence in the stability and usability of regulated stablecoins in Japan's retail ecosystem. Netstars' Stablecoin Pay is particularly attractive for businesses that want to tap into the crypto-savvy customer base without exposing themselves to the volatility of cryptocurrencies.
Japan's regulatory framework for stablecoins
Japan's proactive stance on stablecoin regulation has been a catalyst for these developments. On June 1, 2023, amendments to the Payment Services Act and related laws took effect, creating a dedicated framework for fiat-linked stablecoins. The rules require businesses acting as intermediaries to register with the Financial Services Agency (FSA), ensuring compliance with anti-money laundering (AML) and know-your-customer (KYC) standards. This regulatory clarity has encouraged both domestic and international players to explore stablecoin use cases in Japan.
In March 2025, regulatory approval was granted for the distribution of USDC, followed by JPYC's registration as a fund transfer service provider in August 2025. JPYC subsequently launched in October 2025. These milestones have laid the groundwork for the current wave of stablecoin payment initiatives. The FSA's approach is seen as a model for other jurisdictions, balancing innovation with consumer protection. The framework allows for multiple types of stablecoins, including those backed by fiat currencies like the yen or the dollar, as well as commodity-backed or algorithmic stablecoins, provided they meet strict collateralization and transparency requirements.
Industry impact and broader implications
The convergence of regulatory support and commercial initiatives is driving Japan's stablecoin market forward. According to a report by the Bank of Japan, stablecoin adoption could reduce transaction costs and settlement times for retail payments, especially cross-border transactions. The Lawson trial and Netstars launch are part of a broader trend of Japanese companies integrating blockchain technology into everyday services. For instance, other retailers are exploring the use of stablecoins for loyalty programs and remittances.
Beyond payments, stablecoins are being used for lending and other financial services. As noted in a related story, a Japanese lender recently launched Bitcoin-backed loans worth up to $6.2 million. While that involves volatile cryptocurrency, stablecoins offer a more predictable medium for value transfer, making them suitable for both retail and institutional use cases. The combination of regulated stablecoins and traditional financial infrastructure could position Japan as a global leader in digital payment innovation.
However, challenges remain. Consumer education is crucial, as many users are still unfamiliar with non-custodial wallets and cryptocurrency concepts. Transaction speed and scalability on blockchain networks like Solana and Polygon must meet the high throughput demands of retail environments. Additionally, interoperability between different stablecoin issuers and wallets will be key to seamless adoption. The FSA continues to monitor the market closely, issuing guidances to prevent fraud and ensure consumer protection.
Looking ahead
The Lawson trial in August will be closely watched by industry participants and regulators alike. If successful, it could set a precedent for stablecoin payments in Japanese retail, encouraging other chains such as 7-Eleven and FamilyMart to follow suit. Meanwhile, Netstars' Stablecoin Pay service is expected to onboard merchants from various sectors, including restaurants, e-commerce, and entertainment. The focus on allowing merchants to settle in yen while accepting dollar-pegged stablecoins addresses a key friction point for businesses hesitant to engage with crypto.
Japan's journey with stablecoins is far from over. The market is likely to see more issuer registrations, interoperability solutions, and consumer-oriented products in the coming months. As one of the first major economies to implement a comprehensive stablecoin law, Japan is providing a real-world test case for how digital currencies can coexist with traditional financial systems. The outcomes of these experiments will influence policy decisions in other countries, particularly in Asia, where several nations are studying Japan's approach.
In summary, the simultaneous moves by Lawson and Netstars represent a tangible leap forward for stablecoin payments in Japan. With a solid regulatory foundation and increasing commercial interest, the country is on the cusp of a new era in digital payments. The focus now shifts to execution, scalability, and user adoption. If these trials succeed, stablecoins could become a routine part of daily transactions in Japan, offering a glimpse of the future of money.
Source: Cointelegraph News