The project will create a common framework for issuing and transferring stablecoins, with an initial focus on tokens backed by the Japanese yen and potentially the US dollar.
Japan’s Financial Services Agency (FSA) today endorsed a joint stablecoin initiative by the country’s three largest banks: Mitsubishi UFJ Financial Group, Sumitomo Mitsui Financial Group, and Mizuho Financial Group.
The three megabanks are developing a shared framework for issuing and transferring stablecoins designed for cross-border transactions. The initiative includes plans for digital assets backed by the Japanese yen and potentially the US dollar.
The stablecoin system will use blockchain technology to accelerate corporate payments and settlements. Mitsubishi Corporation is positioned as the first participant to apply the stablecoin for real-world commercial use.
