From Cash to Local Currency: Japan’s First “Local Circulation-based Payment” Model Launched
– Municipal Benefits Model Integrating Digital Local Currency x Distributed ID Infrastructure
March 2, 2026
Digital Platformer, Inc.
Digital Platformer, Inc. (headquartered in Chiyoda-ku, Tokyo; hereinafter referred to as “the Company”) is pleased to announce that the distributed ID infrastructure and digital local currency infrastructure provided by the Company have been adopted in the benefit measures announced by Ishikawa Prefecture on February 17, 2026.
As far as we are aware, this is the first municipal benefit model utilizing deposit-type stable coins in Japan*.
Regarding this matter, on February 27, 2026, Hokkoku Bank, in cooperation with Ishikawa Prefecture and four shinkin banks in Ishikawa Prefecture (Kanazawa Shinkin Bank, Nono Kyoei Shinkin Bank, Hakusan Shinkin Bank, and Kouno Shinkin Bank), announced the launch of the “Ishikawa Life Support with Toti-Tsuka” program, utilizing the digital local currency “Toti-Tsuka”, from March 6, 2026. The release stated that the company will launch the “Ishikawa Life Support worth 7,000 yen in total” initiative using the digital local currency “Tochituka” from March 6, 2026.
https://prtimes.jp/main/html/rd/p/000000093.000115382.html
*As of February 2026, according to our research. Does not include regional point benefits, demonstration experiments, limited-use digital coupons, etc.
CEO Comment
Kazutaka Matsuda, CEO, Digital Platformer, Inc.
We believe that benefits should be designed to circulate the future of the community, not just provide temporary support. This initiative is a model that goes one step beyond the idea of handing out coupons or cash and circulates the local economy through local currency. It is significant that we were able to implement a sustainable local economic infrastructure while ensuring safety and transparency by integrating a high-security decentralized ID infrastructure and deposit-type stable coins. We aim for this model to become one of the standards for municipal DXs nationwide.”
Background
In Ishikawa Prefecture, we have been developing the digital local currency platform “Tochituka” in cooperation with Hokkoku Bank. Tochituka is a regional settlement platform that integrates the deposit-type stable coin “Tochika” backed by bank deposits and “Tochipo” points issued by local governments.
The platform has been used by Suzu City, Nomi City, Komatsu City, and several other municipalities in Ishikawa Prefecture, and has been used in a number of benefit-type point programs and regional economic revitalization projects. It has also been adopted in the tourism and commerce promotion program, “Noto Pit,” and a regional merchant network and settlement infrastructure have already been established.
This measure combines the existing digital local currency infrastructure with a decentralized ID infrastructure to implement a new administrative model in which local government benefits are provided in the form of digital local currency.
Structure of this Policy
This model is realized through a three-tiered structure consisting of a decentralized ID infrastructure, deposit-type stave coins, and a regional merchant network.
Distributed Identity Infrastructure (SHIKI)
The distributed ID infrastructure “SHIKI” provided by MTI uses the My Number Card to verify the identity and address of persons eligible for benefits. It is designed to deter fraudulent applications through highly secure identity authentication and to accommodate future expansion of administrative services.
2. deposit-type stable coin “Totica
The “TOCHICA” is a deposit-type stable coin backed by bank deposits and can be used at local merchants in denominations of 1 yen. The unique feature of this program is that it is not points, but a digital local currency directly linked to the real economy.
3. regional merchant network
By utilizing the existing TOCITUKA merchant network, benefits will be immediately available within the region. This will curb the outflow of benefits outside the region and increase the effectiveness of local economic circulation
Implementation, not demonstration
This model is not a mere demonstration experiment.
It is an “already implemented model” that integrates the digital local currency infrastructure already in operation, the track record of the municipal point system, and the distributed ID infrastructure.
It is designed as a reusable architecture that can be horizontally deployed in other municipalities in the future.
This is an “already implemented model” that integrates the digital local currency platform already in operation, the track record of the municipal point system, and the distributed ID platform. It is designed as a reusable architecture that can be horizontally deployed in other municipalities in the future.
Significance of this case
This measure is,
Acceleration of administrative benefits
Fraud prevention and transparency
Maximize local economic circulation
Advancement of Digital Administrative Infrastructure
This model simultaneously realizes
From “benefits” to “local economic circulation.
This means a shift from mere support to building a sustainable ecosystem.
Future Roadmap
The Company will promote the advancement of services based on distributed IDs and digital local currencies, and deploy a next-generation public infrastructure model integrating “benefits × distributed ID × digital local currency” throughout Japan.
Diagram of the three-tiered model of this policy
Contact Information
Digital Platformer, Inc.