Japan’s Largest Bank MUFG Facilitates Domestic Banks to Issue Stablecoins

• Progmat Coin, it was said, is built to work with stablecoin issuance from any trust bank.
• MUFG also recently announced its partnership with DataChain.

Mitsubishi UFJ Financial Group (MUFG), the biggest financial institution in Japan, has announced that it would utilize the Progmat Coin platform to produce locally backed stablecoins across public blockchains. Ethereum, Avalanche, Cosmos, and Polygon will all be used to issue stablecoins.

Progmat Coin, it was said, is built to work with stablecoin issuance from any trust bank, not only MUFG. As of this month, stablecoins may be issued by Japanese trust banks thanks to new regulations.

Boosting Blockchain Interoperability

To further demonstrate its commitment to blockchain interoperability, MUFG recently announced its partnership with DataChain. Moreover, DataChain’s public blockchain solution TOKI, a cross-chain bridge, is working with them as well.

The teamwork’s ultimate goal is to provide cross-chain swaps, cross-chain payments, and cross-chain loans on the public blockchain. For instance, a Progmat Coin from a separate blockchain might be used to pay for an NFT purchase.

TOKI plans to use Progmat Coins to operate liquidity pools across different blockchains. According to the news, TOKI will release its own crypto token and launch its bridge later this year. Originally introduced in February of 2022, MUFG’s Progmat Coin aimed to serve as a single digital asset payment solution across stablecoins, other cryptocurrencies, and a Japanese CBDC.

Security and utility tokens are also supported by the Progmat platform, with the possibility that some of these tokens may include crossing bridges.

Many security tokens have already been distributed. Progmat was originally established by MUFG, but it is transitioning into a joint venture with support from the country’s primary stock market operator, JPX, as well as Mizuho, SMBC, SBI, and others.