Thursday, November 14, 2024
Social icon element need JNews Essential plugin to be activated.

MUFG to facilitate Japanese bank-backed stablecoins via Progmat Coin platform

[ad_1]

Megabank Mitsubishi UFJ Monetary Group (MUFG) has introduced that its stablecoin issuance platform “Progmat Coin” will quickly be utilized by Japanese banks to launch Yen-pegged stablecoins on a number of public blockchains.

Japanese banks have just lately outlined intentions to both look into or launch stablecoins following new rules that got here into impact this month.

Related articles

In mid-2022, the Japanese authorities passed a bill that prohibited the issuance of stablecoins by non-banking establishments. The invoice formally got here into impact on June 1, 2023.

In a June 2 announcement, MUFG outlined the Progmat Coin will likely be used to facilitate the issuance of bank-backed stablecoins on Ethereum, Polygon, Avalanche and Cosmos, with extra networks to be added sooner or later.

MUFG additionally revealed that its blockchain tech and safety companions TOKI and Datachain are constructing a bridge to allow cross-chain transactions, lending and swaps between the checklist of supported blockchains.

The financial institution expects the cross-chain infrastructure to be launched within the second quarter of 2022.

Progmat Coin cross-chain interopability. Supply: MUFG

MUFG initially announced Progmat Coin again in February 2022, with the purpose to offer an interoperable and “common digital asset fee technique” for stablecoins, different crypto property, and even a Japan-based central digital financial institution forex (CBDC).

Associated: OpenAI gets warning from Japanese regulators on data collecting

MUFG has not revealed which banks would be the first to make the most of Program Coin, nevertheless, it did verify to Cointelegraph on the time of the Progmat Coin announcement final yr that it’s engaged on launching its personal Yen-pegged stablecoin.

In line with a June 1 report from Nikkei Asia, Shikoku Financial institution, Tokyo Kiraboshi and Minna Financial institution all plan to difficulty stablecoins, nevertheless, it seems they gained’t be utilizing Program Coin to take action.

The publication states that these banks will use a separate stablecoin platform developed by Tokyo-based startup G.U. Applied sciences.

Journal: Asia Express: Yuan stablecoin team arrested, WeChat’s new Bitcoin prices, HK crypto rules