The largest bank of Japan starts issuing its cryptocurrency

Japanese financial group Mitsubishi UFJ Financial Group (MUFG) is launching a program to open a new exchange and issue its own virtual currency MUFG coin. Controlling the exchanges, MUFG plans to restrain the price fluctuations of the MUFG Coin cryptocurrency, so that it can be used consistently for calculations. Thanks to a centralized distribution, MUFG coin will be directly controlled by the bank. Additionally, the bank will be able to control the coin value, which will be about 1 yen. Users will be able to use coins with the help of smartphones to pay for goods and services.

 MUFG intends to increase the use of its currency among suppliers and sellers in Japan through a payment platform, which will be launched later this year.

In general, this step demonstrates that cryptocurrencies and blockchain technology are gradually beginning to be used by traditional financial institutions that are striving to take advantage of the low operating costs offered by cryptocurrencies.

Legislative Barriers and Financial Regulation

MUFG has already notified the Japan Financial Services Agency of its plans to issue its own cryptocurrency and open the exchange. The Bank of Tokyo-Mitsubishi will prepare the issue of coins. In March this year, it is planned to hold a competition of business ideas on the use of a new cryptocurrency.

Recall, to open a crypto exchange in Japan, you need to register with the Financial Services Agency, and there are certain problems. As the Fintech industry continues to develop actively, new laws can be created in response to the offer of new services like MUFG in the country.

Community Response

As for the community, users are actively sharing their opinions about the upcoming launch on Twitter. In particular, they did not hesitate to note that MUFG coin is not OMG (OmiseGo), and that the coin price will be about 1 yen.

Tokyo-based Mitsubishi UFJ Financial Group is the largest financial group in Japan, the world's second-largest bank holding company, and owns assets totaling $ 1.8 trillion.