TechFlow news, April 2 — According to Nikkei News, Sumitomo Mitsui Financial Group plans to collaborate with two U.S. firms to develop fiat-backed stablecoins. The group will partner with Avalanche blockchain developer Ava Labs and digital asset management system provider Fireblocks, alongside Japanese IT company TIS, to build stablecoin infrastructure.
The project aims to conduct proof-of-concept trials in the second half of fiscal 2025, focusing on use cases such as inter-corporate payments, with commercialization expected by fiscal 2026. As Japan's second-largest bank, Sumitomo Mitsui's move signals traditional financial institutions are accelerating their expansion into digital assets and promoting real-world applications of blockchain technology in financial payment systems.
