Japan Post Bank to Launch DCJPY Digital Token in 2026 Allowing Instant Securities Transactions for Over $1.29 Trillion in Deposits

Japan Post Bank To Launch Digital Currency For Faster Securities Transactions

Japan Post Bank is preparing to let customers convert their savings into a new digital token starting fiscal 2026, a move designed to accelerate trading of tokenised financial products.

The bank, which manages over USD 1.29 trillion in deposits, plans to allow near-instant settlement of securities transactions, cutting the current processing time of several days.

How DCJPY Tokens Work And Who’s Behind Them

The digital token, named DCJPY, was developed by DeCurret DCP, a fintech backed by MUFG and other major Japanese firms.

Each token is pegged to the yen at a 1:1 ratio and operates on a permissioned network, representing a direct bank deposit rather than a traditional stablecoin issued on public blockchains.

Users will be able to convert their savings instantly into DCJPY, which can then be used to purchase tokenised securities offering yields between 3% and 5%.

Translated image (Source: X)

Will Younger Investors Drive Adoption?

Japan Post Bank aims to appeal to a younger, digital-savvy audience by simplifying and speeding up financial transactions.

By allowing near-instant settlement and tokenised securities access, the bank seeks to make its services more attractive to depositors who prefer faster, digital-first solutions.

Real-World Testing Shows Early Momentum

DCJPY has already been trialled in several proofs of concept, including interbank transfers and government subsidy payments, with test transactions exceeding JPY 2 billion (USD 19.9 million).

GMO Aozora Net Bank is currently the only announced minting partner for the token, though DeCurret DCP expects additional banks to join the network.

Discussions are also ongoing with local governments to facilitate payment of subsidies and grants using DCJPY.

Japan’s Regulatory Environment Paves The Way

The initiative aligns with a broader regulatory push in Japan.

Earlier this year, the Financial Services Agency approved JPYC as the country’s first regulated yen-denominated stablecoin.

Lawmakers are also reviewing tax policies to support crypto trading and exploring frameworks for digital asset ETFs.

These measures aim to modernise Japan’s financial system and encourage digital asset adoption while maintaining regulatory oversight.

Can Traditional Banks Thrive With Blockchain Technology

Japan Post Bank’s adoption of DCJPY highlights a growing trend where conventional financial institutions explore blockchain solutions to remain competitive.

By integrating digital tokens directly into its banking infrastructure, the bank is testing whether traditional deposit systems can coexist with faster, tokenised financial products, potentially setting a model for other large-scale banks globally.