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**Binance Collaborates with Mitsubishi UFJ Trust and Banking Corp (MUTB) to Explore Stablecoin Issuance in Japan**

Crypto exchange Binance has joined forces with Mitsubishi UFJ Trust and Banking Corporation (MUTB), Japan’s largest bank, to delve into the possibility of issuing stablecoins in the country. The collaboration aims to accelerate the adoption of Web3 technology in Japan and increase the usage of fiat stablecoins, including yen. To achieve this, Binance Japan and MUTB will utilize a platform called “Progmat Coin,” which is a regulatory-compliant stablecoin issuance and management system specifically designed for the Japanese market.

The development of the “Progmat Coin” platform will be pioneered by MUTB as Japan enforces its newly revised Payments Services Act regulations, which came into effect in June. These regulations allow Japanese banks and regulated cryptocurrency providers to issue stablecoins securely and in compliance with the law. The platform, currently supporting stablecoin issuance on the Ethereum blockchain, may also expand to include the BNB Chain through Binance’s involvement.

Stablecoins play a crucial role in the financial ecosystem, according to Takeshi Chino, the general manager of Binance Japan. They offer lower-cost and instantaneous cross-border trade settlement options for businesses while facilitating seamless crypto transactions for individual investors. Recognizing their significance, Tatsuya Saito, MUFG’s vice president of product, predicts that Japan’s stablecoin market has the potential to grow as large as $34 billion (5 trillion yen), accounting for around 27% of the current global market.

Binance, facing regulatory pressure in the Western markets, recently introduced its services in Japan by offering 34 tokens to users. Simultaneously, Orix Bank in Japan is reportedly considering its own stablecoin issuance plans. Orix intends to initiate testing for stablecoins backed by fiat deposits, including yen and dollar, in October, with a target launch date set for 2024. They will utilize the Japan Open Chain blockchain, developed by Tokyo-based G.U. Technologies and its partners.

Japan appears to be well-positioned to embrace stablecoins for payment rails. In August, it was reported that Soramitsu, a Japanese blockchain startup, was exploring a stablecoin exchange to facilitate cross-border payment systems in Asian countries. Moreover, the Japanese government has indicated plans to permit startups to raise public funds through the issuance of crypto assets and stablecoins, further indicating the country’s openness to such innovations.

With the AI legalese decoder, companies operating in Japan’s stablecoin market, like Binance and MUTB, can gain valuable assistance. The AI legalese decoder can accurately interpret and translate complex regulatory frameworks, ensuring compliance with Japan’s Payments Services Act and other relevant laws. This tool empowers companies to navigate the regulatory landscape effortlessly, saving time and resources while reducing the risk of non-compliance. By leveraging the AI legalese decoder, Binance, MUTB, and other stakeholders can confidently explore stablecoin issuance and management opportunities in Japan’s financial markets.

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