Japan: banking giant SMBC will develop NFT projects

Japan’s banking giant Sumitomo Mitsui Financial Group (SMBC Group) said it will partner with blockchain startup HashPort to develop NFTs and Web3 projects.

Japan in Web3 and NFTs with SMBC Group

In Japan, banking giant Sumitomo Mitsui Financial Group (SMBC Group), with $2.1 trillion in assets, said it will collaborate with blockchain startup HashPort to develop NFTs and Web3 projects.

NEW: ?? Japanese banking giant SMBC ($2.1 trillion in assets) to develop NFT and Web3 projects

— Blockworks (@Blockworks_) July 25, 2022

“NEW: Japanese banking giant SMBC ($2.1 trillion in assets) to develop NFT and Web3 projects”.

SMBC Group, which operates one of Japan’s largest banks, along with HashPort, apparently wants to establish what has been called a “token business lab”, with the aim of experimenting with token businesses such as NFTs.

NFTs in Japan: Mitsubishi UFJ Financial Group (MUFG) with Animoca Brands 

Apparently, SMBC Group is following what was announced back in March by Mitsubishi UFJ Financial Group (MUFG), Japan’s largest bank, which had partnered with Animoca Brands to develop NFT activities. 

Through this collaboration, MUFG Bank committed to support the development of the NFT market by leveraging Animoca Brands’ know-how in digital content, intellectual property rights, and NFT market management.

The idea of MUFG Bank is to contribute to the protection of Web 3.0, involving the booming Non-Fungible Token market, by supporting the issuance and listing of NFTs and providing services for their purchase, such as their storage, etc.

Not only Non-Fungible Tokens, the legal framework for stablecoins

While Non-Fungible Tokens will be explored thanks to interest from Sumitomo Mitsui Financial Group and, previously from MUFG Bank, Japan is also ready to frame stablecoins.

In fact, last month, the Japanese parliament passed a law clarifying the legal status of stablecoins, defining them as digital coins that must be tied to yen or another fiat currency, granting holders the right to redeem them at face value. 

This definition is only a first step toward building a full-fledged legal framework on stablecoins that will come into effect within the next year.