The two groups have begun working together on research of stablecoin creation to boost web3 adoption.
Binance Mitsubishi UFJ Trust Bank (MUTB) is working with the Japanese government to develop new stablecoins that will be tied to the main Japanese currencies.
Progmat Coin, which Mitsubishi controls, will serve as the foundation for the stablecoins. The Payments Service Act mandated the creation of Progmat Coin.
The platform has the support of a number of significant Japanese financial institutions. A joint investigation into the development of stablecoins was announced by the two groups in a statement released on September 26. Stablecoins will be made accessible to the public after this research is completed and the required licenses are obtained.
Takeshi Chino, general manager of Binance Japan, discussed the possible advantages of a cooperation and the stablecoins’ many applications. example, they allow businesses to settle trades across borders more quickly and cheaply, and they make it easier for regular people to trade other cryptocurrencies.
Stablecoins fill an important need in financial services and are essential for the success of Web 3.0 adoption.” In August, the platform launched in Japan, where it now provides access to 34 different digital currencies.
The exchange has been expanding into new countries while facing difficulties in the United States and other large markets. Reports that Binance would delist stablecoins in Europe due to MiCA laws were recently refuted by CEO Changpeng Zhao.
He said the company has African partners releasing completely compliant stablecoins. However, for almost a year now, the market for stablecoins has been falling.
Since May 2022, the worldwide market capitalization has dropped to its present value of $124.23 billion. Binance maintained support for stablecoins like as TrueUSD (TUSD) and First Digital USD (FDUSD) despite the market decline.
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