Japan's three major banks jointly complete proof-of-concept for joint issuance of yen stablecoin and cross-border payments

BlockBeats news, October 16 — Mizuho Bank, MUFG Bank, Sumitomo Mitsui Banking Corporation, Mitsubishi UFJ Trust and Banking Corporation, and TISI announced that from July 17 to 23, 2026, they completed a proof-of-concept experiment for the joint issuance of a stablecoin by multiple banks and the use of that coin to advance cross-border payments. The project was supported by the Japan Financial Services Agency's "Fintech Proof-of-Concept Hub / Payments Innovation Project PIP." With the three banks acting as joint settlors and Mitsubishi UFJ Trust and Banking Corporation as trustee, the stablecoin was issued under a trust agreement as a specified trust beneficial interest prescribed by the Funds Settlement Act, and the feasibility of regulatory and practical operations was verified using cross-border settlement between Mitsubishi Corporation's Japan and overseas bases as the scenario.

The parties said they have confirmed the security of the system and the feasibility of the multi-bank joint issuance model, and completed verification of the full process of issuance, transfer, and redemption. The three banks previously stated that they planned to launch actual transactions within fiscal year 2026, and have established a joint discussion council, with deposits as reserves and circulation among users verified through bank identity checks as the design premise, to continue advancing the implementation of stablecoins and on-chain finance.