JAPAN’S LARGEST BANK COMMENCES PROJECT TO ALLOW OTHER BANKS ISSUE STABLECOINS

A cross-chain bridge services provider and partner of #Progmat known as #TOKI will be working with a token issuance #protocol called #Noble in order to bring completely collateralized Japanese #stablecoins to the #Cosmos ecosystem.

 

Progmat is a project set in motion by #Mitsubishi UFJ Trust and Banking (#MUFG), the largest bank in Japan which has the support of over 200 Japanese companies including major banks such as SMBC and Mizuho.

 

The Japan Exchange Group (#JPX) is also involved in the project.

 

Progmat is contemporarily building a platform that will empower banks and regulated financial institutions to issue their own stablecoins.

 

The design involves financial institutions interested in issuing stablecoins depositing an equivalent amount of fiat currency with MUFG’s trust bank.

 

Then, Progmat issues an equivalent amount of stablecoins.

 

The funds in the trust bank are bankruptcy-remote, which makes this possibly the most secure stablecoin for use on public blockchains.