Japan's Second Biggest Bank Launching Yen-Pegged Stablecoin in March 2019

Mizuho Bank, Japan's second largest financial institution, is readying the infrastructure for a stablecoin launch in March 2019, as reported by Asia Nikkei Review.

Mizuho plans to promote cashless payments in Japan by deploying its offering across retail stores for feeless-transactions, unlike traditional credit cards.

The firm is reportedly in discussion with over 60 regional banks to support liquidity for the stablecoin.

Initially termed the "J-Coin" project, the Mizuho effort was started in 2017 by group chairman Yasuhiro Sato in partnership with two Japanese "Megabanks," regional banks, and Japan Post Bank.

If all goes according to plan, the project shall mark the first instance of a stablecoin used by financial corporations, banks, and retail shops.

Currently, Japan remains a cash-based economy but looks to augment cashless transfers ahead of the 2020 Tokyo Olympics.

"Megabanks" in Japan both Agree and Differ.

Payments will be possible via a simple QR code placed at vendor outlets and accessible through a dedicated phone application that supports the Mizuho stablecoin.

Apart from Mizuho, the Mitsubishi UFJ Financial Group launched its stablecoin, the MUFG coin, in April 2018, and plans a nationwide rollout by 2020.

While MUFG agrees to the architecture, it differs both in the technical and fundamental aspects-mainly that of aligning with a competitor and combining its stablecoin with Mizuho's coin.