Another Japanese bank plugs into the tokenized yen

Japan's tokenized deposit network is quietly adding members. Hokuriku Bank (@hokurikubank_JP) and digital infrastructure firm DeCurret DCP have signed a basic agreement to build a commercial settlement platform on the DCJPY Network, with a target launch date in fiscal year 2027.

What the deal covers

Hokuriku Bank, a subsidiary of Hokuhoku Financial Group, and DeCurret DCP have signed a basic agreement to commercialize a digital currency settlement platform powered by the DCJPY Network, with an official target to launch commercial services within fiscal year 2027.The venture is designed to upgrade regional financial infrastructure, with the joint development team focusing on three primary areas: establishing domestic and international B2B payment protocols, enabling digital currency payroll transfers, and launching localized digital currencies for designated commercial zones.

On the technical side, the roadmap includes defining security protocols and establishing API connectivity to link the DCJPY Network directly with Hokuriku Bank's core banking systems.

DCJPY is not a stablecoin

The distinction matters. Unlike publicly traded stablecoins, DCJPY represents actual bank deposits with guaranteed 1:1 yen redemption.The tokens live on a permissioned blockchain, meaning access is restricted to authorized banks, businesses, and government institutions. The result is an instrument that carries the legal and accounting stability of a conventional deposit while gaining the programmability of a blockchain asset.

The DCJPY Network has been expanding steadily. DeCurret DCP has several big-name backers, including MUFG, SMBC, and SBI Holdings. The most significant participant announced to date is Japan Post Bank. Japan Post Bank's 120 million accounts, holding $1.29 trillion in deposits, will be able to use the token for easier tokenized securities settlement.DeCurret DCP is also in talks with local governments to have subsidies and grants paid through DCJPY, digitizing local operations.

The addition of Hokuriku Bank signals that the DCJPY Network is pushing beyond major city institutions and into Japan's regional banking sector, where adoption could have a more direct impact on local business payments and municipal finance.

SourcesFintech Observer: Hokuriku Bank and DeCurret DCP Partner to Commercialize DCJPY by FY2027The Block: Japan Post Bank Eyes 2026 Rollout of DCJPY Deposit TokenLedger Insights: Japanese Tokenized Deposit Solution DCJPY Launches into Production