Japan Smart Chain
Japan Smart Chain: A Sovereign Blockchain Solution for Japan’s Digital Future
Joichi Ito, President of Chiba Technical University and co-founder of Digital Garage, alongside Russell Cummer, the founder and former Chairman of Paidy (Japan’s leading Buy Now, Pay Later service), have launched AltX Research KK to introduce the Japan Smart Chain (JSC). This blockchain infrastructure is designed to cater specifically to Japan’s regulatory landscape while being optimized for Ethereum-based technologies.
Why Japan Needs a Sovereign Blockchain Solution
Japan has long faced challenges in adopting Web3 technologies due to the disconnect between international blockchain developments and local regulatory frameworks. For Japanese businesses, this regulatory gap has often made it difficult to explore transformative blockchain use cases such as digital payments, loyalty systems, and decentralized finance.As a result, the growth of blockchain adoption in Japan has been stunted.
The Japan Smart Chain aims to close this gap by offering a blockchain solution tailored to Japan’s needs. JSC will help local businesses take advantage of faster, cheaper, and more secure digital services while ensuring full compliance with Japan’s regulatory requirements.
Key Features of Japan Smart Chain
- Sovereignty & Local Validation: The JSC is a sovereign blockchain, validated exclusively on Japanese soil. It operates under Japan’s jurisdiction and complies with local regulations, ensuring that it remains free from external political or regulatory pressures.
- Mizuhiki Protocol: One of the key innovations of JSC is the Mizuhiki Protocol, which integrates digital KYC (Know Your Customer) and AML (Anti-Money Laundering) procedures directly into the blockchain’s infrastructure. This reduces the burden on operators and consumers while ensuring compliance with Japan’s legal framework.
- Security & Safety: By embedding KYC and AML at the infrastructure layer, JSC enhances the safety of digital transactions. It enables users to safely engage with regulated services, knowing their identities are verified in compliance with Japanese laws.
- Scalability for Future Growth: JSC is built to scale, offering Layer 2 solutions from launch. This enables businesses and developers to adopt blockchain technologies at a lower cost while maintaining full compliance with local regulations.
Mission & Vision
The Japan Smart Chain’s mission is to streamline the blockchain ecosystem in Japan by addressing the pain points consumers face when interacting with digital services. The platform’s vision is to facilitate the widespread adoption of Web3 technologies in Japan, enabling businesses and consumers to transact securely and efficiently in a fully regulated environment.
Source: This article is based on an article published on Medium - Tokyo FinTech from Norbert Gehrke