TechFlow reports that Japan's three major banks — Mitsubishi UFJ Bank (MUFG), Sumitomo Mitsui Banking Corporation (SMBC), and Mizuho Bank — will jointly pilot a cross-border stablecoin transfer platform aimed at providing businesses with faster international settlement services.
The pilot project, named "Project Pax," will utilize stablecoins issued by Progmat, a blockchain startup backed by SBI Holdings and the Japan Exchange Group.
The project will be operated jointly by Progmat, Datachain, and TOKI to test cross-chain transactions.
It plans to leverage SWIFT’s existing API framework, enabling banks to instruct Progmat to conduct settlements on blockchain networks, helping address compliance challenges such as anti-money laundering.
"Project Pax" will begin with a prototype, aiming to commercialize the platform by 2025. Progmat has already established its "Progmat Coin" stablecoin platform, capable of issuing multiple stablecoins pegged to major fiat currencies including the Japanese yen, U.S. dollar, and euro, supporting flexible domestic and international use.
