Japanese Banking Giant To Introduce its Stablecoin Before 2020
Japan’s third-largest bank by assets and the world’s second-largest by market capitalization, UFG, is subsequently planning to issue its cryptocurrency by the second half of 2020.
Japan’s largest financial institution, Mitsubishi UFJ Financial Group, is reportedly planning to release the MUFG token in the second half of 2020.
As reported on the 13th of July, the digital currency project, launched in 2015, operated on a blockchain network and was initially intended to enable instant peer-to-peer transactions. After several launch delays, the initiative is expected to be rolled out by 2020 at the latest.
According to Hironori Kamezawa, president and CEO of MUFG announced the new plan in an interview with the Tokyo Stock Exchange on July 13 this year.
Soon the Token will be available to Public
As part of the upcoming launch, MUFG reportedly plans to launch a digital currency to power mobile retail payments in collaboration with its partner Recruit Group. According to the report, Kamezawa said that two other companies.
Tokyo Bank and the Recruit Group – have already signed up for the collaboration. As per the initiative, they think that now anyone will be able to use the MUFG token openly, “the CEO noted, adding like it to in the future be available for non – recruit stores as well.
The New Token is at 1:1 with the Japenese Yen
As previously reported, MUFG token is crafted as a blockchain-based stable coin, which is pegged with the Japanese yen at 1:1. Although this project was launched about five years ago, the introduction of the MUFG token has been delayed several times due to the financial crisis. It has reportedly tried to start the token in 2018 or 2019, but the bank has yet to launch it successfully.
MUFG is one of the largest financial companies in Japan, with a market cap of over $ 1.5 billion and a total market capitalization of $ 7.7 billion. Predictively, it is set to become the first Japanese bank to issue a digital currency, according to a report by the Japan Financial Services Agency.
MUFG participated in the initial stages of the token issuance protocol backed by Coinbase, which was supported with a $ 1.5 million investment from the U.S. government.
Also Read: All About Central Bank Digital Currency (CBDC)
