Japan’s Banking Giants Unite for Yen Stablecoin Launch

TheNewsCryptoОпубліковано о 2026-06-10Востаннє оновлено о 2026-06-10

Анотація

Three of Japan's largest banks — Mitsubishi UFJ Financial Group, Sumitomo Mitsui Financial Group, and Mizuho Financial Group — will jointly issue a yen stablecoin by March, the end of the current financial year. They have formed a council to prepare for the launch, with the Japanese Financial Services Agency and the ruling Liberal Democratic Party expressing support. Yen-pegged stablecoins currently represent a minor part of the market, with JPYC being the most notable example. Separately, the New York State Department of Financial Services has proposed stringent new regulations for stablecoin issuers, focusing on stricter reserve custody rules, enhanced risk management, and mandatory executive certifications and audits.

Three of Japan’s largest banks said they will jointly issue a stablecoin this financial year, which ends in March. Mitsubishi UFJ Financial Group (MUFG), Sumitomo ⁠Mitsui Financial Group (SMBC) and Mizuho Financial Group will establish a council to explore operational frameworks and prepare for the issuance of stablecoins, according to a statement on MUFG’s website.

The three banks will act as “joint settlors and a trust bank or similar institution will act as trustee,” the statement said. Japan’s Financial Services Agency (FSA) signaled support for the development of a stablecoin by the three banks last November. More recently, the ruling Liberal Democratic Party (LDP) said the state should promote the usage of yen-based stablecoins.

Tokens pegged to the yen represent a negligible share of the market, accounting for less than $50 million in the $311 billion sector. The most prominent is JPYC with a market cap of around $18 million, issued by a Tokyo-based fintech of the same name.

NYSD Pushes for Stringent Regulations

The New York State Department of Financial Services released a proposed regulation for authorized payment stablecoin issuers on June 9, The Block reported on June 10. The proposal would turn stablecoin guidance issued in 2022 into formal regulation and incorporate the GENIUS Act and follow-up federal rulemaking.

The biggest change covers custody of reserve assets. Stablecoin issuers would be required to hold reserves across multiple custodians. The proposal also introduces new redemption-related measures to prevent excessive concentration of reserves at a single custodian.

Risk-management obligations would also be strengthened. Issuers would need to establish frameworks covering security, internal controls and audits, insider trading, and oversight of external service providers.

A dual-authorization system would apply to reserve management. Each month, an issuer’s chief executive officer and chief financial officer would have to certify the accuracy of reserve composition reports. Each year, issuers would also need an attestation from an accounting firm on the effectiveness of internal controls.

Highlighted Crypto News Today:

CertiK Backs Pharos AI Agent Hackathon With Security-Focused Skill Scanner

Пов'язані питання

QWhich three major Japanese banks have announced a joint initiative to issue a yen-pegged stablecoin?

AMitsubishi UFJ Financial Group (MUFG), Sumitomo Mitsui Financial Group (SMBC), and Mizuho Financial Group.

QWhat is the current market share of yen-pegged stablecoins in the overall stablecoin market, according to the article?

AIt is a negligible share, accounting for less than $50 million in the $311 billion stablecoin sector.

QWhat role will a trust bank or similar institution play in the Japanese banks' stablecoin issuance plan?

AIt will act as the trustee, while the three banks will act as joint settlors.

QWhat major change did the New York State Department of Financial Services propose regarding stablecoin reserve assets?

AIt proposed that stablecoin issuers be required to hold reserves across multiple custodians to prevent excessive concentration at a single custodian.

QAccording to the article, which political party in Japan recently stated that the state should promote the usage of yen-based stablecoins?

AThe ruling Liberal Democratic Party (LDP).

Пов'язані матеріали

ChangXin's Debut: The Missed 50 Billion Yuan by Country Garden, and the Handover of an Era

On July 27, 2026, Changxin Memory Technologies (CXMT) debuted on the STAR Market, its share price surging 471.59%. With a market cap exceeding ICBC, it became China’s most valuable A-share company, highlighting a dramatic technological and economic shift. In 2021, at the peak of China's real estate boom, developer Country Garden invested 2 billion yuan (20 billion) for a 1.56% stake in the fledgling chipmaker through its venture capital arm. The investment was strategic; CXMT represented a crucial "chain-blocker" in China's semiconductor supply chain. Country Garden’s unique "perpetual capital" model allowed for long-term bets on hard tech, from space rockets to memory chips. However, the property sector’s severe downturn forced Country Garden's hand. Facing immense liquidity pressure to fund construction and deliver pre-sold homes, it sold its entire CXMT stake back to Hefei's state-owned capital for the original 2 billion yuan in December 2024. By the IPO date, that stake was worth roughly 50 billion yuan, a 500 billion opportunity lost. This story encapsulates a pivotal transition. Money accumulated during the property boom was redirected to seed next-generation industries like semiconductors. Yet the old cycle collapsed faster than the new one could mature. While Country Garden accurately foresaw the strategic importance of chip manufacturing, it ultimately misjudged how long its own capital could wait, becoming a poignant symbol of an era's handover from bricks and mortar to silicon and innovation.

marsbit23 хв тому

ChangXin's Debut: The Missed 50 Billion Yuan by Country Garden, and the Handover of an Era

marsbit23 хв тому

Nobel Laureate Uses AI to Create Gene Scissors from Scratch, More Precise than the One Evolved Over Billions of Years

Nobel laureate Jennifer Doudna and her team, along with the startup Profluent, have used AI to design novel CRISPR enzymes that do not exist in nature. These AI-generated gene-editing tools demonstrate superior performance compared to their natural counterparts. Doudna's team focused on engineering TnpB, a compact ancestor of Cas12, achieving functional enzymes with sequences approximately 30% different from natural versions—a drastic increase from the typical 1-2% modifications possible with prior methods. Meanwhile, Profluent generated entirely new Cas9 variants from scratch using protein language models. Their leading candidate, OpenCRISPR-1, exhibits higher on-target editing efficiency (55.7% vs. 48.3%) and a roughly 95% reduction in off-target editing compared to the commonly used SpCas9, despite having hundreds of mutations away from any known natural sequence. While these breakthroughs, published in *Science* and highlighted by *Nature*, mark a significant shift from discovering biological tools to actively designing them with AI, the results are currently confined to cellular experiments. The research underscores a future where AI accelerates protein design, but experts emphasize that deep biological insight remains essential to fully harness these models and advance towards therapeutic applications.

marsbit34 хв тому

Nobel Laureate Uses AI to Create Gene Scissors from Scratch, More Precise than the One Evolved Over Billions of Years

marsbit34 хв тому

Zimbabwe admits seven fintech projects to regulatory sandbox

Zimbabwe's Securities and Exchange Commission (SECZ) has admitted seven fintech projects into its regulatory sandbox, with a majority focused on asset tokenization. The approved participants are Zimbabwe Entrepreneurship Exchange, Ndarama Standard, Questview Brokers, Crowdaxe Capital, Procode Platforms, Financial Securities Exchange (FINSEC), and Colmin Resources Zimbabwe. Their projects involve blockchain-based capital raising, crowdfunding, synthetic trading, and tokenizing assets, securities, and infrastructure. This cohort highlights a growing trend to use blockchain for increasing capital market access and trading traditionally illiquid assets. Admission to the sandbox allows controlled testing under SECZ supervision, but successful completion does not guarantee full registration; participants must still meet standard regulatory requirements before commercial launch.

cointelegraph39 хв тому

Zimbabwe admits seven fintech projects to regulatory sandbox

cointelegraph39 хв тому

Why Can't Kimi Go to a Nightclub to Celebrate Success?

"Why Can't Kimi Go to a Nightclub to Celebrate Success?" The article discusses the controversy surrounding the Chinese AI company Kimi's decision to hold a celebration at a Beijing nightclub after the successful release of its K3 model. While the event drew criticism on social media for being "flashy" and a sign of losing focus, the author argues this reflects a double standard. The piece contrasts the reaction to Kimi with the perception of similar celebrations by Silicon Valley tech companies. In the U.S., such events are often seen as symbols of ambition and a vibrant culture. The author suggests a "Silicon Valley worship" exists, where Western tech elites are granted the freedom to define success and lifestyle, while Chinese companies face constant scrutiny and must prove their worthiness beyond just technical achievements. Furthermore, the article critiques a deep-rooted "moralism of hardship" in Chinese culture, where success is expected to be earned through visible struggle and austerity, especially for scientists and innovators. Figures like mathematician Wang Hong, who presents an elegant and stylish image, challenge the stereotypical expectation of the disheveled, ascetic academic. The core argument is that Kimi's nightclub celebration itself proves nothing about the company's long-term viability or technical prowess. The backlash, however, reveals unrealistic expectations for Chinese tech firms: to simultaneously embody the disruptive energy of Silicon Valley while maintaining the humble demeanor of a perpetual underdog. The author concludes that a mature tech culture should allow Chinese talent to experience and express the joy of their achievements without judgment.

marsbit44 хв тому

Japanese and Korean Stock Markets Crashed! Nikkei Plummets Over 4%, KOSPI Plunges 8%, Market Panics Ahead of AI Giants' Earnings Week

Japanese and South Korean stock markets plunged sharply in early Tuesday trading, with the Nikkei 225 down over 4% and the KOSPI index tumbling 8%, triggering a circuit breaker. The sell-off was led by semiconductor and equipment stocks like Tokyo Electron, Kioxia, Samsung Electronics, and SK Hynix, the latter dropping as much as 30%. The primary driver is mounting investor concern over the sustainability of the AI boom. Worries intensified following news related to Nvidia's major AI supply agreements and rising debt insurance costs. Analysts point to fears over excessive capital expenditure, crowded trades in AI-related stocks, and high corporate debt levels. Market sentiment has soured ahead of key earnings reports from major tech firms, including Meta and SK Hynix. While SK Hynix is expected to post record results, its recent 38% price drop from June highs reflects deep skepticism about whether AI infrastructure spending can maintain its pace and deliver returns. The sell-off appears more driven by a sharp deterioration in sentiment than by immediate fundamental changes.

marsbit59 хв тому

Japanese and Korean Stock Markets Crashed! Nikkei Plummets Over 4%, KOSPI Plunges 8%, Market Panics Ahead of AI Giants' Earnings Week

marsbit59 хв тому

Торгівля

Спот