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Japan's FSA Backs Major Banks in Joint Stablecoin Initiative

Japan's FSA Backs Major Banks in Joint Stablecoin Initiative

Cryptocurrency

Japan's FSA Endorses Joint Stablecoin Project

Japan's Financial Services Agency (FSA) has given its support to a groundbreaking stablecoin initiative involving the country's three largest banks: Mitsubishi UFJ Financial Group, Sumitomo Mitsui Financial Group, and Mizuho Financial Group. This project aims to establish a unified framework for the issuance and transfer of stablecoins, initially focusing on digital assets backed by the Japanese yen and potentially the US dollar.

Key Highlights

  • The initiative is designed to facilitate cross-border transactions using blockchain technology.
  • Mitsubishi Corporation will be the first to implement the stablecoin for commercial purposes.

The stablecoin system seeks to expedite corporate payments and settlements, enhancing efficiency in international trade.

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