Mitsubishi UFJ Trust and Banking Corporation and Datachain announced on April 27 that they had successfully verified the technology for “cross-chain settlement of digital securities using stablecoins.”
In the technical verification, Corda, which is one of the blockchain layers of the stablecoin issuance management platform “Progmat Coin” being developed by Mitsubishi UFJ Trust and Banking, and GoQuorum, which assumes a blockchain platform other than Progmat. We interconnected and realized the simultaneous transfer of tokens on both blockchains.
Cross-chain initiatives using the “Progmat Coin” platform include DVP (Delivery Versus Payment) settlement between stablecoins and digital securities, and PVP (Payment Versus Payment) between stablecoins or between stablecoins and regional digital currencies. There is payment, but this technical verification is said to be an effort for the former (DVP payment).
The two companies said in a release that the settlement of digital securities across blockchains (cross-chain settlements) using regulated stablecoins will be a cutting-edge effort even from a global perspective.
Both companies plan to promote efforts toward commercialization in 2024 while deepening cooperation with Corda developer R3 and related securities companies.
In June 2022, the revised Payment Services Act was enacted, and the legal framework for the issuance and distribution of stablecoins in Japan was organized. The law will come into force within one year of its promulgation, and is expected to come into force soon.
Stablecoins based on ‘Progmat Coin’ will be able to be issued and circulated once the intermediary completes license registration after the law comes into force.
｜Editing: Takayuki Masuda
｜Image: From the press release