#Technology

Japan’s Stablecoin Landscape: Regulation, Innovation, and the Road Ahead (part 2/2)

This article explores the growing significance of stablecoins—cryptocurrencies pegged to fiat currencies like the U.S. dollar or Japanese yen—in both the United States and Japan. While adoption in the U.S. has surged, with new legislation like the GENIUS Act supporting the ecosystem, Japan has taken a regulatory leadership role, having first defined crypto assets in 2017. The article reviews Japan’s legal framework under the Payment Services Act (PSA) and the Financial Instruments and Exchange Act (FIEA), recent amendments, and the emergence of local stablecoin initiatives. It also highlights future prospects for stablecoin-based payments.

Japan’s idols and the fan economy—history and now

Ryo Asai’s new novel *In the Mega-Church* explores Japan’s fan economy and idol culture, tracing its evolution from Johnny’s boy bands and AKB48’s participatory model to globalized, tech-driven fandoms. Today, digital platforms, audition documentaries, and virtual performances reshape how fans connect with idols. Startups are innovating in fan engagement, live interaction, and merchandise using data and blockchain, though issues like scandals and over-commercialization remain. Japan’s idol industry highlights the power of community-driven content. The article also announces a February 2026 Shibuya program for creative tech startups, featuring exhibitions, networking, and collaboration with DIG SHIBUYA.

Japan’s Stablecoin Landscape: Regulation, Innovation, and the Road Ahead (part 1/2)

Japan has played a pioneering role in regulating cryptocurrencies and stablecoins. While stablecoins like USDT and USDC reach over $235 billion globally, Japan is still in early adoption stages. The country first legally defined crypto assets in 2017 under the Payment Services Act (PSA). A 2023 amendment introduced the first stablecoin regulations, marking a key milestone. Alongside, the Financial Instruments and Exchange Act (FIEA) governs security tokens and blockchain-based financial products. With cashless payments now at 42.8%, experts see stablecoins as the next step in Japan’s digital payment evolution, supported by progressive legal and technological frameworks.

Daniel Brown, Founder of Meidansha

Daniel Brown, founder and CEO of **Meidansha**, shares his entrepreneurial journey in Japan. Originally from Australia, he came to Japan in 2003, worked in finance, and later co-founded a 3D virtual tour company in Osaka. After his partner’s passing, he continued running the business alone. Daniel reflects on cultural and professional lessons—how being a foreigner can be both a challenge and an advantage in Japan’s business world. His key advice: focus on purpose, not just profit. Genuine passion earns trust and lasting connections, especially in Japan’s relationship-driven business culture.

Aichi Prefecture matches local governments with startups

Travel and tech in Japan: Samurai Era to the Digital Age

Japan’s travel culture has evolved from Edo-period restrictions to today’s seamless, tech-driven experiences while preserving *omotenashi*, the spirit of hospitality. The Meiji era’s railways revolutionized mobility, and the early 1900s saw tourism’s commercialization. Now, travel startups like Tabist, HafH, Relux, and WAmazing are redefining hospitality through digital innovation—connecting tradition with technology. Tabist modernizes ryokans, HafH supports nomadic lifestyles, Relux curates luxury with craftsmanship, and WAmazing empowers international travelers. Together, they showcase how Japan’s travel industry blends cultural heritage with cutting-edge solutions, proving that innovation thrives when it enhances human connection rather than replaces it.

Generative AI and music production

Generative AI is transforming music creation, allowing anyone to compose songs without technical skills. Platforms like Suno, AIVA, and Udio automate composition through text prompts, attracting millions worldwide. However, this rapid innovation raises ethical and legal challenges. Artists and organizations like the RIAA and ARA are pushing back against unlicensed use of copyrighted works, while AI detection tools emerge to counter abuse. As the AI music market is projected to grow from €3 billion to €64 billion by 2028, musicians face declining income and an uncertain future. The industry now stands at a crucial crossroads between creativity and technology.

Maker Faire Tokyo 2025 – Tokyo

Kyoto Smart City Expo 2025

TOOL JAPAN 2025

FaW TOKYO 2025 Autumn – Fashion World Tokyo

Mitsui Sumitomo Bank to establish incubation center in Osaka

Japanese VCs closing gap on US with new, larger funds

Bridge Kansai 2025 – Global Ecosystem Mixer

SxPARK Fes 2025 – 「きみの“好き”が、社会を変える」

EDCON 2025 – Osaka

Tech Osaka Summit 2025

Two-day global startup summit in Osaka with pitch contests, 150-startup showcase, and curated business matching ahead of Expo 2025.

Japan’s AI Journey: Past Lessons, Future Potential

Japan’s AI journey spans decades, from early machine translation and the 1980s Fifth Generation Computer Project to today’s generative AI startups. Despite less global visibility, Japan has steadily advanced with a focus on language, logic, and practical applications. Companies like Sakana AI, Preferred Networks, ABEJA, and Jitera are leading efforts in foundation models, robotics, business solutions, and low-code platforms. Challenges include limited Japanese training data, but this also creates opportunities for specialization. Backed by partnerships with corporations, universities, and global investors, Japan’s AI ecosystem is growing and positioning itself as a unique, collaborative force in the global AI landscape.

Sumitomo Mitsui Bank establishes startup incubator in Osaka

Komei Sasaki, CEO of Redcliff Inc: Realizing Japan's Largest Drone Show

Redcliff Inc., led by CEO Sasaki, achieved Japan’s largest drone show with 2,200 drones. Inspired by global travels and work at DJI, Sasaki founded the company in 2019. Despite strict Japanese regulations, Redcliff innovates by integrating drones with fireworks and aims to expand internationally as an aerial advertising media leader.

Domestic startup funding rises 38% to 52.8 billion yen in May

Domestic startup launches AI server rental service

More Than Convenience: Japan's Food Delivery Transformation

Japan’s food delivery culture, rooted in Edo-period demae, has evolved from community-based hospitality to a highly digitalized ecosystem. The rise of platforms like Uber Eats and Demaekan, accelerated by COVID-19, transformed the market. Today, aggregators, logistics firms, and autonomous delivery technologies reshape operations, making Japan a global testbed for delivery innovation.

Rakuten AI Optimism 2025 – Yokohama