Progmat stablecoin platform takes shape as wallet, liquidity providers join

Liquidity supplier Cumberland and crypto exchanges Bitbank and Mercoin likewise figure into the Progmat plans, and other crypto asset-related businesses are welcomed to join. Binance Japan announced in September that it was conducting a joint study with MUFG on the issuance of stablecoins pegged to different currencies.Related: Japan to enable startups to raise funds by issuing crypto instead of stocks: ReportThe XJPY and XUSD stablecoins will beintended to enhance the effectiveness of settlements in between crypto property exchanges, with XUSD for use in cross-border settlements. Japanese crypto exchanges utilize banks for settlement, according to the Tokyo Fin Tech blog site, triggering hold-ups that the Progmat system will eliminate.MUFG introduced the Progmat platform in February 2022 in a consortium with other big Japanese banks. It is regulated under the revised Payment Services Act that entered into effect in June 2023. The revised act offers three types of stablecoin. Progmat would support the “trust” type coin, provided by trust banks.Progmat Coin schematic. Source: MediumMUFG said in June that Progmat would be utilized for banks to release stablecoins on Ethereum, Polygon, Avalanche and Cosmos. Only banks are allowed to provide stablecoins under Japanese law, and stablecoins on Progmat will be needed to go through licensing ahead of launch.Progmat Coin is not operating in a vacuum. Blockchain startup Soramitsu is exploring a brand-new stablecoin exchange for cross-border payments to Asian countries utilizing Camboodias reserve bank digital currency in addition to stablecoin. Tokyo-based start-up G.U. Technologies is likewise reportedly developing a stablecoin platform.Magazine: Why Animism Gives Japanese Characters a NiFTy Head Start on the Blockchain

With a market maker, wallet service provider and cryptocurrency exchanges on board, Progmat and Mitsubishi UFJ Financial Group (MUFG) hope to introduce two stablecoins in the summertime of 2024. Stablecoin platform Progmat Coin, MUFG and wallet company Ginco have actually begun a study with the goal of providing a yen-denominated XJPY stablecoin and dollar-denominated XUSD stablecoin, Progmat stated in a declaration.