Mitsubishi UFJ Trust and Banking (MUTB) and Binance Japan have partnered to develop a new fiat-backed stablecoin pegged to assets like the Japanese Yen. This partnership uses “Progmat,” a fully compliant token issuance infrastructure platform for Japanese financial institutions that drives Web3 adoption and innovation in TradFi spaces.
MTUB plans to position Progmat as the core infrastructure service for issuing stablecoins in Japan. Simultaneously, Binance Japan is working to enhance its services within the framework of Japanese regulations to bridge the gap between its domestic and global offerings. This partnership employs the “Trust-type” stablecoin structure, which both parties believe provides increased flexibility and usability in the issuance process. This structure involves Binance Japan as the entity applying for issuance and MUTB as the issuer (trustee), enabling the inclusion of underlying assets denominated in various currencies. MUTB and Binance Japan are planning a stablecoin release for early 2024.