- It’s a project from Japan’s largest bank, MUFG, and local blockchain companies
- They are preparing a new platform, Progmat
- It will enable local banks to issue their own stabelcoins
Japan’s largest bank Mitsubishi UFJ Trust (MUFJ) announced the launch of its blockchain platform, Progmat. It is designed for local banks and will simplify their tasks of issuing steblecoins, storing them and auditing them.
Partners of the project were TOKI crosschain protocol and Noble token issuing platform. Initially, future Stablecoins will be released on the Cosmos network. But in the future they will add support for other blockchains.
More than 200 Japanese companies, including the Japan Exchange Group (JPX) and top banks, have already expressed interest in the Progmat platform.</nbsp;
Japanese authorities recently recognized stablocoins as a legitimate financial instrument.. However, they are only allowed to be issued by financial institutions authorized by the FSA (local regulators).
In the spring, Mitsubishi UFJ Trust (MUFJ) announced plans to issue a yen-linked stabelcoin this year. It will be used for instant settlement of securities transactions. Blockchain allows for asset fragmentation, making it easier for retail investors to diversify expensive and less liquid assets (such as corporate bonds and real estate).
Now MUFJ has gone further and decided to help other banks launch their staplecoins. However, the project is not implemented soon. Partner provider TOKI will not launch its main network until the end of 2024.