Native token of oracle network Chainlink LINK$24.28 declined in tandem with the broader crypto market despite a fresh partnership with Japanese financial giant SBI Group.

LINK declined to $24.4, down more than 6% over the past 24 hours, CoinDesk data shows. That’s a sharp reversal from the Friday’s year-to-date peak over $27.

The downward trajectory accelerated through successive trading sessions with persistent lower peaks, whilst the concluding hour exhibited stagnation with negligible volume, suggesting potential consolidation, according to CoinDesk Research’s technical analysis model.

On the news side, SBI Group, one of Japan’s largest financial conglomerates, said on Monday it has teamed up with Chainlink to develop tokenized assets and stablecoin solutions in Japan, with future plans to expand into other Asia-Pacific markets.

SBI will use Chainlink’s Cross-Chain Interoperability Protocol (CCIP) to support transactions across different blockchains while maintaining compliance. The firms will also test tokenized funds by bringing net asset value data on-chain and explore payment-versus-payment settlement for foreign exchange and cross-border transactions. Chainlink’s Proof of Reserve will be used to verify stablecoin reserves.

SBI and Chainlink have previously collaborated under Singapore’s Project Guardian, a Monetary Authority of Singapore (MAS) initiative exploring blockchain use in finance.

Technical Indicators Analysis

• Resistance established at $26.61 with sharp reversal upon elevated volume activity.
• Critical support emerged at $24.37 with purchasing interest.
• Extraordinary volume of 7,850,571 units during peak volatility, substantially exceeding 24-hour average of 2,687,393.
• Systematic lower peak formations indicating bearish momentum acceleration.

Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk’s full AI Policy.

Japanese financial giant SBI Holdings is moving into a red-hot tokenized stock market through a joint venture with Singapore-based blockchain developer Startale.

The company plans to build an on-chain platform designed to trade tokenized stocks and real-world assets (RWAS)they announced on Friday.

This step will allow SBI to increase the roster of key players experimenting with tokenized inventory. Gemini, a number of crypto exchanges, including Robinhood and Kraken, has begun offering blockchain-based versions of publicly traded stocks.

SBI oversees over 11 trillion yen ($74 billion) With over 65 million customers across assets worldwide, asset tokenization is considered a major change in the global market.

“We expect this movement to lead to a rewarding digitalization of the capital market itself,” Yoshida Kitabe, president and CEO of SBI Holdings, said in a statement.

According to a press release, the joint venture focuses on 24/7 trading in US and Japanese stocks with a close instant settlement. Features are expected to include fractional ownership, facility-grade custody, and real-time compliance monitoring.

“The platform is highly interoperable, always open, accessible to everyone, and designed to meet the needs of users around the world in the global market,” Yoshita Kaitao said.

Startale previously developed Soneium, the Ethereum Layer-2 network, along with Japanese technology giant Sony.

Read more: DBS launches tokenized structured notes about Ethereum to increase investor access

SBI VC Trade has become Japan’s first company to receive official approval to handle stablecoins like USD Coin (USDC), marking a significant step in the country’s crypto market.

On March 4, the firm announced its registration as an “Electronic Payment Instruments Business Operator” under Japan’s updated regulatory framework. This milestone allows the platform to facilitate the use of stablecoins, following the revised Fund Settlement Act and Banking Act.

SBI VC Trade CEO Tomohiko Kondo confirmed the development on X, stating that the company is now the only firm in Japan with a stablecoin license.

He emphasized the company’s commitment to expanding USDC adoption and offering secure, compliant digital payment solutions.

A new era for stablecoins in Japan

With the new registration, SBI VC Trade plans to introduce a beta version of its USDC-related services on March 12.

According to the firm, a limited group of users will gain early access after scheduled system maintenance. The company aims to expand USDC support in phases, ensuring compliance with local regulations while enhancing Japan’s digital asset landscape.

SBI Holdings, the parent company of SBI VC Trade, has been actively strengthening its position in the stablecoin market. In November 2023, the financial giant signed a memorandum of understanding with Circle, the issuer of USDC, to explore new business opportunities.

This latest approval adds to the firm’s existing financial licenses, which include the Electronic Payment Instruments Business (No. 00001), Cryptocurrency Exchange Business (No. 00011), and the Type 1 Financial Instruments Business (No. 3247).

SBI VC Trade stands at the forefront of Japan’s evolving digital finance sector. The firm plans to introduce new services integrating crypto and stablecoin transactions, ensuring seamless and efficient digital payments.

USDC’s growing market advantage

SBI VC Trade’s move comes as USDC is gaining global regulatory recognition.

The digital asset is currently the only major stablecoin compliant with the European Union’s Markets in Crypto-Assets (MiCA) regulations, giving it a competitive advantage over Tether’s USDT in the region.

Over the past months, major exchanges such as Binance have removed non-compliant stablecoins from their European platforms, leading to a shift in market dominance.

As a result, USDC has seen increased adoption, with its circulating supply rising by 6% in the past month, reaching an all-time high of over $56 billion.