#Japan #Tokyo #Lawson #Digital Garage #JCB

Digital Garage and JCB Team Up for Stablecoin Payment Pilot Program

In a significant step towards cashless transactions, Digital Garage Inc. (Prime Tokyo Stock Exchange, TSE: 4819) has partnered with JCB Co., Ltd., to conduct a pilot program (PoC) for stablecoin payments at Lawson convenience stores. The agreement aims to leverage innovative payment solutions to facilitate seamless transactions for foreign visitors in Japan.

The Essentials of the Collaboration

The framework laid out in the basic agreement will amalgamate JCB's stablecoin payment services, Digital Garage's payment APIs, back-end systems, and Lawson's operational insights to tackle the challenges and identify solutions for implementing stablecoin transactions in physical stores. This pilot program primarily focuses on evaluating the usability of the US dollar-pegged stablecoin, USDC, as visitors to Japan utilize it for in-store purchases.

Rise of Cashless Payments in Japan

Japan has witnessed an increase in cashless payment adoption, which has prompted the need for diverse payment options at brick-and-mortar establishments. Stablecoins, characterized by their ease of use and stability, are garnering global attention as a foundation for a new cashless ecosystem, accelerating their market expansion. The potential benefits of this technology in the payment sector include reducing currency exchange burdens for foreign tourists, enhancing transaction efficiency, and improving cash flow for participating merchants. Combining the expertise from JCB, Digital Garage, and Lawson represents a strategic move towards exploring the viability of stablecoin payments in real-world scenarios.

Pilot Program Details

The pilot program will utilize a Consumer-Presented Mode (CPM) method, wherein customers display their stablecoin wallet address in the form of a barcode for Lawson's Point of Sale (POS) system to scan. This setup will primarily assess the practicality and convenience of using the USDC stablecoin in physical transactions. Additionally, the connection between Lawson’s POS system and the stablecoin payment service provided by JCB will incorporate technology from Canal Payment Service, which specializes in code payment processing.

Roles of the Stakeholders

Here's a brief overview of each company's contributions to the pilot project:

• - JCB Co., Ltd.: Provides the stablecoin payment service, including the essential user web system for payments, code generation for transaction barcodes, and settlements to participating merchants.
• - Digital Garage Inc.: Supplies the necessary payment API and back-end systems while offering technical support throughout the pilot.
• - Lawson, Inc.: Responsible for creating the optimal physical environment for the PoC and integrating the JCB stablecoin payment service with their POS system.

Pilot Implementation Summary

• - Implementation Period: August 20, 2026
• - Participating Location: Lawson Gate City Osaki Atrium Store
• - Target Users: Stakeholders involved in the collaboration from JCB, Lawson, and Digital Garage
• - Compatible Wallet: Base App
• - Stablecoin in Use: USDC (Base Blockchain)
• - Payment Method: CPM (Consumer-Presented Mode)
• - Assessment Metrics: Focus on transaction flow feasibility, necessary requirements for POS system integration, impacts on store checkout processes, transaction completion times, and usability of the web system for customers.

Broader Commitment Towards Stablecoin Payment Integration

In January 2026, Digital Garage initiated collaborative efforts with JCB and Resona Holdings, aiming to implement stablecoin payments across physical stores in Japan. The collaboration focuses on identifying challenges and solutions to enhance the adoption of stablecoin payments among domestic merchants.

Digital Garage is dedicated to promoting the establishment of a new payment infrastructure that aligns with a cashless society, contributing to the evolution of Japan's payment system as a whole.

Company Overview

• - Company Name: Digital Garage Inc.
• - CEO: Iku Hayashi
• - Location: Shibuya, Tokyo
• - Established: August 1995
• - Business Focus: As one of the largest payment processing providers in Japan, Digital Garage offers various comprehensive payment platforms and services to build sustainable social contexts through technology. Their marketing and startup investment operations span both the digital and physical realms.
• - Website: Digital Garage

Digital Garage remains committed to supporting the development of a more efficient payment ecosystem tailored to Japan’s need for innovative financial solutions.