Japan’s Financial Services Agency (FSA) has officially announced its support for a stablecoin pilot project involving the country’s three major banks, as Japan continues to advance its efforts in payment innovation.
In a statement released Friday, the FSA said the experiment brings together Mizuho Bank, MUFG, and SMBC in a coordinated effort among the megabanks to jointly issue a stablecoin for payments. The consortium also includes Mitsubishi Corporation, Progmat Inc., and Mitsubishi UFJ Trust and Banking Corporation.
According to the announcement, the project will examine how multiple banking groups can jointly issue so-called stablecoins classified as “electronic payment instruments” under Japanese law, while ensuring regulatory compliance and proper operational practices.
The FSA said the project aims to verify whether such a system can be executed “lawfully and appropriately” in accordance with existing financial regulations.
The project is expected to run from November 2025 onward for the foreseeable future, the agency said. Results from the experiment, including legal and compliance insights, will later be published on the FSA’s website.
The pilot serves as the inaugural project under the FSA’s newly established Payment Innovation Project (PIP), a specialized initiative launched on Friday to accelerate blockchain-based payment innovations. PIP operates within the agency’s existing FinTech Proof-of-Concept Hub, which has supported fintech experiments since 2017.
The FSA’s announcement confirms details reported by Nikkei earlier this month. The collaboration is seen as a key step in modernizing Japan’s financial infrastructure and enabling faster, more efficient digital transactions across institutional networks.
© 2025 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
Trade Crypto On Coinhub Exchange
Trade Crypto On Coinhub Exchange
Stay ahead of the market by turning news insights into trading opportunities. With Coinhub Exchange, you can seamlessly buy, sell, and manage your digital assets, all in one secure platform. Take advantage of real-time market insights, deep liquidity, and fast execution for your favorite cryptocurrencies. Don’t just read about it — trade crypto now!
Disclaimer
The content of this article shown by Coinhub News, powered by The Block, is for informational purposes only and should not be construed as financial, legal, tax, or investment advice. Coinhub News and its affiliates are not a licensed financial advisor, legal advisor, broker, or tax advisor, and ... should not be considered as professional advice or a recommendation to engage in any specific investment, legal decision, or financial transaction. Cryptocurrency markets are highly speculative and volatile. Readers should perform their own independent research and consult with a qualified professional before making any financial or legal decisions. The opinions expressed in this article are those of the author and do not necessarily represent the views or opinions of the Company of its affiliates. Additionally, the Company does not make any representations or warranties regarding the accuracy, timeliness, reliability, or completeness of any information in this article. By accessing this content, you acknowledge that any reliance on the information contained in this article is solely at your own risk. The Company is not responsible for any financial losses, legal disputes, or other damages that may arise from reliance on this content or from any investment or legal decisions based on the information provided. Investing in cryptocurrencies involves substantial risks, including the risk of losing your entire investment, and you should carefully consider whether it is appropriate for your circumstances.
Read more
