The Mizuho Financial Group is planning a stable coin based on the Japanese yen. Thus, the importance of the yen in the international crypto-ecosystem is growing.
You could say 2018 was the year of stable coins. For one thing, the turmoil surrounding Tether and Bitfinex provided regular news content. On the other hand, so many new stable coin projects sprang up like never before.
Since most of the crypto trading volume continues to be denominated in US dollars, most stable coins are also based on the world reserve currency. Furthermore, all major price index sites, such as coinmarketcap.com and coingecko.com, continue to denounce crypto rates in US dollars.
However, this dominance begins to crumble. For in Japan, too, cryptocurrencies are becoming an increasingly popular investment object. This is not least due to the fact that Bitcoin is official currency in the land of the rising sun beside the yen.
In this context, the reports on the imminent launch of a stable coin, which is based on the Japanese yen, can be seen.
As the news platform Nikkei writes (paywall note), the Japanese Mizuho Financial Group is planning to introduce both a yen stable coin and a payment platform that will allow users to pay in a variety of transactions with the new cryptocurrency.
Data collection: Nothing is free
The advantage of the undertaking is therefore that transfers and payments should be free of charge and thus cheaper than with conventional payment systems. However, according to the reports, the payments give users their automatic consent to the collection of transaction data by Mizuho Bank. That is, the bank expects the introduction of the coin primarily data on the consumption patterns of their customers.
Mizuho is not a blank paper in terms of cryptocurrencies. The financial institution caused quite a stir in 2017, when it lent $1.76 million to the country’s largest crypto exchange, Bitflyer.
The new stable coin with an unknown name is scheduled for launch in March 2019.
Author: Marko Vidrih
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