ORIX Bank Commences Proof-of-Concept Experiment Toward Issuance of Stablecoins

TOKYO, Japan - September 26, 2023 - ORIX Bank Corporation (“ORIX Bank”) today announced that it will commence a proof-of-concept experiment jointly with G.U. Technologies Inc. toward issuance of stablecoins.
Stablecoins are digital currency backed by legal tender such as the Japanese yen. Compared to cryptocurrency, a typical digital currency that is not backed by any asset, stablecoins have smaller price fluctuations as well as advantages in cost and speed compared to cash payments. Therefore, it is expected that they will see greater use as an instrument for payments between companies and international funds transfers.

In this experiment, ORIX Bank will provide trust functions while using the systems of G.U. Technologies to issue trust-based^* stablecoins and conduct technological verifications for funds transfers and payment settlements.

The revised Payment Services Act that came into effect on June 1, 2023 formally recognizes the use of stablecoins as an instrument for funds transfer and payment settlement. Issuers of stablecoins are limited to banks, trust companies, and funds transfer service providers. Currently, though, it is possible only for trust banks and authorized trust companies to study the issuance of stablecoins as an electronic payment instrument with guaranteed transferability and no limits on the amount for each transfer. At the same time, using the advantages of trust functions, ORIX Bank will also seek to develop a service that uses blockchain technology to allow free transactions between unspecified users without the need for identity verification.

ORIX Bank will continue to use digital technologies to develop services that provide new value to customers.

* This is a mechanism for issuing beneficial interests in a trust backed by entrusted money. The issued beneficial interests are digitalized and used for payment settlements and other transactions between users.

Contact Information:
Investor Relations and Sustainability Department
ORIX Corporation
Tel: +81-3-3435-3121

About ORIX:
ORIX Corporation (TSE: 8591; NYSE: IX) is a financial services group which provides innovative products and services to its customers by constantly pursuing new businesses.
Established in 1964, from its start in the leasing business, ORIX has advanced into neighboring fields and at present has expanded into lending, investment, life insurance, banking, asset management, automobile related, real estate and environment and energy related businesses. Since entering Hong Kong in 1971, ORIX has spread its businesses globally by establishing locations in 28 countries and regions across the world.
Going forward, ORIX intends to utilize its strengths and expertise, which generate new value, to establish an independent ORIX business model that continues to evolve perpetually. In this way, ORIX will engage in business activities that instill vitality in its companies and workforce, and thereby contribute to society. For more details, please visit our website: https://www.orix.co.jp/grp/en/
(As of March 31, 2023)

Caution Concerning Forward Looking Statements:
These documents may contain forward-looking statements about expected future events and financial results that involve risks and uncertainties. Such statements are based on our current expectations and are subject to uncertainties and risks that could cause actual results that differ materially from those described in the forward-looking statements. Factors that could cause such a difference include, but are not limited to, those described under “Risk Factors” in the Company’s annual report on Form 20-F filed with the United States Securities and Exchange Commission and under “(4) Risk Factors” of the “1. Summary of Consolidated Financial Results” of the “Consolidated Financial Results April 1, 2022 – March 31, 2023” furnished on Form 6-K.