Three Japanese banks will test the issuance of stablecoins

Japanese bankers from Tokyo Kiraboshi Financial Group, Minna Bank and Shikoku Bank will take part in testing stablecoins on the Japan Open Chain blockchain. Blockchain developer GU Technologies writes about this.

Since May 6, the ban on operations with stablecoins in Japan, tied to the exchange rate, will be deleted. However, the authorities are introducing new rules - the issuer of stablecoins in the country will have to prepare a pledge as confirmation.

The first stage of testing is the issuance of coins and transactions in banks. The next step should be the introduction of stablecoins that will comply with all the requirements of the law.

“The goal of our experiment is to prove that any bank is capable of issuing a stablecoin backed by the Ethereum ecosystem, including the MetaMask wallet,” the banks said in a joint press release.

Japan Open Chain is fully compatible with the Ethereum ecosystem. The Japanese blockchain was developed by GU Technologies in collaboration with the online community Pixiv, advertising and communications holding Dentsu, digital bank Minna Bank, Kyoto University of the Arts and technology company CORGEAR.

Earlier, Japanese authorities said they had returned to the digital yen project and announced that they would launch a pilot project in April. As part of the pilot program, the central bank will conduct simulated transactions with private financial institutions in a test environment. So far, there will be no real agreements between retailers and consumers.

The Bank of Japan has already tested the state digital yen, but in August suspended work on the project. Officials came to the conclusion that citizens have a normal banking system, so the issue of expanding access to financial services is not important either from a political or economic point of view.