Until Stablecoins Become a Daily Payment Method: Four Companies Discuss the JPYC Payment Demonstration at the AI & On-Chain Finance Summit

AI & On-Chain Finance Summit Session Report

Until Stablecoins Become a Daily Payment Method: Four Companies Discuss the JPYC Payment Demonstration

Taro Tamura × Ryosuke Shimizu × Ryoko Sakurai × Yoshihiro Yoshida

The "AI & On-Chain Finance Summit" was held on October 1 at KDDI Headquarters in Takanawa, Tokyo. Co-hosted by HashPort, KDDI, au Coincheck Digital Assets, and the WebX Executive Committee. In the session titled "[Japan's First] The Day Stablecoins Moved at Convenience Store Registers," four companies involved in the stablecoin payment demonstration conducted at Lawson in August took the stage. They reflected on their efforts linked to the in-store registers, discussing the challenges for commercialization and the path to widespread adoption.
Speakers:
Taro Tamura, Lawson Co., Ltd., Head of Financial Company and Marketing Strategy Division
Ryosuke Shimizu, Canal Payment Service Co., Ltd., President
Ryoko Sakurai, JPYC Co., Ltd., CBO
Yoshihiro Yoshida, HashPort Co., Ltd., CEO
Moderator:
Keita Sekiguchi, Nihon Keizai Shimbun, Editorial Committee Member and Deputy Editor of NIKKEI Financial
*The photo at the beginning shows from left to right: Keita Sekiguchi, Taro Tamura, Ryoko Sakurai, Ryosuke Shimizu, Yoshihiro Yoshida

Structure of the Demonstration

The session began with an introduction of the roles each company played in the demonstration. Lawson provided the store and was responsible for the integration with the in-store POS (Point of Sale) registers. According to Tamura, the ability to make payments with stablecoins through existing POS registers was a "first in Japan."
Canal Payment Service's role was to connect the registers with various payment services. Shimizu explained that the company acted as a gateway, coordinating the exchange of different data between the registers and payment services. This was to minimize modifications to the store's system.
The wallet for receiving payments was provided by HashPort. Yoshida stated that the company integrated the "HashPort Wallet for Biz" into the convenience store registers. The payment is completed simply by the cashier scanning the code.
Sakurai from JPYC, the issuer of the JPYC payment method, revealed that he was informed about the implementation about a week prior. He remarked, "If we had provided JPYC as a raw material, the system would have been established without us realizing it. I think that’s the beauty of stablecoins." This was a phrase that symbolized the characteristic of being able to build a payment system among businesses without the help of the issuer.
Note: Lawson conducted a demonstration of stablecoin payments linked to existing POS registers in August 2026, limited to stakeholders. The four companies participated in the demonstration at the Takanawa Gateway City store on August 6, using HashPort Wallet and JPYC. The cashier scans the code displayed in the user's wallet to complete the payment. There is no need to add a dedicated terminal for stablecoins at the register. The CoinPost editorial team also experienced the payment at the Takanawa Gateway City store.

Barriers to Commercialization: Payment Speed and Refund Handling

Sekiguchi recalled using HashPort Wallet's JPYC to purchase iced coffee during the August demonstration. He then asked Tamura about the remaining challenges for commercialization.
Taro Tamura
This was primarily a demonstration to see if payments could be made. We tested the flow of authentication within the wallet and the approval process through on-chain transactions in their natural state. As a result, it took considerably longer compared to regular barcode payments. This was something we had anticipated.
We tried various wallets, coins, and blockchains, and differences in speed became apparent. A key challenge for commercialization will be how to streamline these processes and reduce payment times.
When asked about the speed that would serve as a benchmark for commercialization, Tamura stated that it was difficult to set a clear line but answered, "It should be about the speed when using au PAY at Lawson."
Ryosuke Shimizu
There are two challenges. One is the speed until a receipt is issued. This is crucial as it directly impacts store operations and the purchasing experience for users.
The other challenge is the handling of cancellations, returns, and refunds, which could not be sufficiently verified during this demonstration. JPYC has aspects of a digital currency rather than just a payment tool. The question is how to align the digital currency mechanism with the specifications of existing POS systems. However, a general direction is becoming clearer, and the technical barriers seem to be diminishing.
Yoshihiro Yoshida
There are physical constraints on payment speed. Since blockchain is not centralized, the speed of transactions depends on the processing speed of the network itself. Existing EVM-based chain designs have limitations. However, we do not intend to settle for that.
We are researching methods to process transactions in the store's wallet and complete payments before waiting for finality (transaction confirmation). We are working on overcoming such constraints.
Another challenge is how to handle the stablecoins received by the store. As usage becomes widespread, they will accumulate more and more on the store side. We are exploring solutions with Lawson and Canal Payment Service on how to reflect this in sales.

Triggers for Adoption and Issuer Incentives

Sekiguchi asked the audience to raise their hands, confirming that almost no one in the room did not have QR code payment on their smartphones. However, about 30% of the audience did not own stablecoins. Sekiguchi pointed out that the issuance scale of yen-denominated stablecoins is still small, and there are no places to use them, creating a "chicken-and-egg" situation. So, can convenience stores be a trigger for adoption? The first to respond was issuer Sakurai.
Ryoko Sakurai
Convenience stores are among the first places many people visit. For those looking to use JPYC in their business, a hurdle was what users could use it for once they received it. The establishment of places where recipients can use it is a significant advantage. However, while JPYC has a wide range of uses, it still lags behind in usability (UX) compared to means specialized for specific purposes. To expand use cases, it is necessary to engage businesses that have incentives.
For those receiving payments, there is a benefit of lower fees. So, who are the businesses that can gain incentives by issuing JPYC? As mentioned in the official note, banks are likely the most applicable. JPYC preserves the deposits that customers transfer. What if the preservation destination were the banks that helped with the issuance? Banks could potentially acquire deposits through JPYC without needing to open accounts.
For example, even now, JPYC can be issued using our connection service API from HashPort Wallet. If banks provide benefits to users through such channels, users will have reasons to hold it. If we can create a win-win structure, use cases will expand.
Sekiguchi interpreted this as a proposal that connects discussions around tokenized deposits and stablecoins.
Note: Tokenized deposits refer to deposits being treated as tokens on the blockchain by banks, retaining the nature of bank deposits. In contrast, JPYC is an electronic payment method issued by a money transfer business, with the Japanese yen backing the issued balance being preserved through deposits and government bonds. On September 11, Sakurai published an article titled "JPYC is not meant to eliminate banks" on the official JPYC note, proposing a division of roles where banks handle fund preservation and stablecoins facilitate value transfer without treating the two as mutually exclusive.
Taro Tamura
Convenience stores are places where various services and products can be easily utilized and purchased. I believe they serve as a point of contact and exit for people to feel closer to JPYC. There is a chicken-and-egg relationship where convenience stores will not adopt it unless JPYC is widespread, and it won’t become widespread unless they adopt it.
However, after observing various experiments so far, I believe that the hurdles at convenience stores are not that high, and we proceeded to the demonstration. We want to at least be prepared before new payment methods become widespread.
Ryosuke Shimizu
Stablecoins are digital currencies and have similarities but are not the same as payment methods. If we only consider use cases in the context of distribution and retail, it would be a waste and difficult to scale. Various stakeholders should collaborate to create examples in finance, securities trading, real estate transactions, and more. By doing so, the incentives to hold and use will naturally expand.
Yoshihiro Yoshida
A significant theme outside of convenience stores is cross-border transactions. It is significant for visitors from abroad to choose between credit cards and stablecoins at convenience stores. In terms of payments and remittances, stablecoins are more convenient and cheaper than cross-border payments via SWIFT or credit cards. The usability is also good.

Can Yen-Denominated Stablecoins Compete with USDT and USDC?

Sekiguchi introduced examples of foreigners paying with cryptocurrencies or stablecoins at high-value transactions, such as jewelry stores in Ginza. However, he pointed out that stablecoins are still hardly used for small transactions. So, will it become possible to use stablecoins denominated in foreign currencies at convenience stores? To this question, Tamura was the first to respond.
Taro Tamura
In conclusion, it will become possible to use them. We have tested USDT and USDC in the experiments and confirmed that payments can be made. There are considerations regarding how to handle wallets and through which routes they will be used. We want to proceed with the introduction while discussing with related parties, including HashPort. We are certainly aware of inbound considerations.
Sekiguchi then asked Yoshida whether yen-denominated stablecoins could become a presence like USDT or USDC.
Yoshihiro Yoshida
Rather than whether yen-denominated stablecoins can become that, I believe it is necessary for the entire industry to rally and make it happen. When I spoke at a conference in Southeast Asia in August, there was a question about whether stablecoins other than USD would become widespread. The other two speakers strongly denied it, asserting that local stablecoins are unnecessary.
Perhaps there is a sense that it is difficult for currencies in Southeast Asian countries to stand as businesses compared to dollar-denominated ones. However, yen, euro, and yuan are likely on the borderline of being viable as businesses. We need to work together as an industry to aim for a stablecoin economy that is not swallowed by the dollar.
Sekiguchi responded that if both dollar-denominated and yen-denominated stablecoins spread, it could lead to mutual adoption. Yoshida agreed, stating that he wants to avoid a situation where all Japanese stablecoin payments become dollar-denominated.
Ryosuke Shimizu
It is challenging, but the potential is sufficient. Ultimately, it comes down to how to design incentives to hold and use. Since it is possible in the U.S., there is no reason it cannot be done in Japan. The question is how the industry will promote it.
Finally, Sekiguchi sought the views of Sakurai from JPYC, which issues yen-denominated stablecoins.
Ryoko Sakurai
JPYC was established with the belief that a yen-denominated stablecoin is necessary to protect currency sovereignty. The existence of USDT and USDC does not mean that yen-denominated stablecoins are unnecessary. I believe there is a possibility that the circulation amounts could become similar in scale.
However, they will not grow in the same way. USDT and USDC have spread from on-chain to the general public, while JPYC may spread from the general public to on-chain finance later. This is because legal regulations are being established first, and the government is also supporting the promotion of stablecoins and on-chain finance.

Session Summary

Sekiguchi reflected on discussions with Yoshida over the past year about where stablecoins would be most widely adopted. He noted that he has been paying attention to the structure involving Lawson and expressed the belief that convenience stores could be a trigger for adoption. In conclusion, he called on the attendees:
"I believe everyone here is involved in various businesses. Please create diverse structures."
In addition to the technical challenges of payment speed and refund handling, how to design reasons for users to hold stablecoins has entered the discussion stage for commercialization, as stablecoins have been demonstrated to be usable at convenience store registers.