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The yen just got a blockchain upgrade. Japan’s Financial Services Agency (FSA) green-lit the nation’s first megabank stablecoin pilot Friday, uniting MUFG, SMBC, and Mizuho to issue a 1:1 yen-pegged digital token under the Payment Innovation Project (PIP).
Kicking off November 2025, the open-ended trial tests instant corporate settlements, cross-border rails, and public-chain bridges—powered by MUFG’s Progmat platform (Ethereum/Polygon/Avalanche/Cosmos). Mitsubishi Corp and MUFG Trust handle reserves and compliance.
“This isn’t crypto chaos—it’s the yen on steroids,” said Progmat CEO Fumiki Ozaki. “Zero fees, T+0 clearing, 24/7 global reach.” Early use-cases: supply-chain invoices, remittance corridors, programmable payroll.
FSA’s stamp classifies the coin as an electronic payment instrument—fully auditable, 100% yen-backed, no leverage. Success unlocks ¥1 trillion issuance by 2028, slashing Japan Inc’s $6B annual transfer costs.
Asia’s stablecoin race heats up: Hong Kong’s HKD-R, Singapore’s XSGD now face Tokyo’s bank-grade rival. BOJ’s CBDC Phase-3 dovetails; joint wallets by 2027?
From Progmat’s 2024 bond tokens to today’s PIP, Japan flips “cautious” to “crypto superpower.” Enterprises: dust off your wallets—yen 2.0 lands this month.
