- Binance will offer stablecoins pegged to three fiat currencies in Japan.
- The exchange has partnered with Japan’s Mitsubishi UFJ Financial Group.
- Binance has announced re-entry into the Belgium market.
The race to become the world’s leading crypto hub is heating up. As nations worldwide grapple with regulation, Asian states have stepped up, introducing new legislation and guidelines to the market. One of the hottest topics on the table has been stablecoins.
Looking to take advantage of the buzz, Binance, one of the world’s largest cryptocurrency exchanges, seems to have set its sights on expanding its services as it revealed plans for new stablecoin offerings in Japan.
Japan’s stablecoin Integration
Binance Japan has announced a new partnership with top Japanese banking institution Mitsubishi UFJ Financial Group to issue new stablecoins denominated in fiat currencies, including the Japanese yen, US dollar, and euro.
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The initiative is set to commence in 2024 under the banner of “Progma Coin”, a platform designed as the foundation for issuing stablecoins in compliance with the updated ‘Payments Services Act’ implemented in June 2023, following the acquisition of necessary licenses for electronic payment services and other trading operations.
The exchange, which only recently re-entered the Japanese market in August 2023, will spearhead the partnership, leveraging Mitsubishi UFJ Trust’s expertise in issuance and management to broaden the appeal of stablecoins to a global audience and thereby foster a thriving Web3 ecosystem in the region.
Takeshi Chino, a representative of Binance Japan, emphasized the exchange’s position as a global leader in stablecoin liquidity and customer transactions. In a Bloomberg interview, Chino stated: “I would like to provide trading of crypto assets denominated in stablecoins as soon as possible in Japan.”
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Japan isn’t the only place Binance is making inroads, as the exchange announced that it has resumed service for users in Belgium.
Binance In Belgium
On September 26th, Binance Belgium announced that it would recommence operations to provide Belgian residents access to its products and services.
The exchange, which had initially halted operations in Belgium in June due to regulatory turbulence with Belgium’s Financial Services and Market Authority, added those registering with Binance in the country would be required to accept its new Terms of Use.
The development is a stroke of good fortune for Binance after a rocky year for the exchange’s endeavors in Europe. In 2023 alone, the exchange has been forced to withdraw from the UK, Cyprus, Germany, and the Netherlands following legal run-ins and concerns with the regulators of their respective regions.
On the Flipside
- Binance Japan currently offers 34 tokens, the largest number of tokens offered on any digital exchange in the country.
- Despite its recent expansions, the exchange still grapples with regulatory challenges in the U.S. and Europe.
- The exchange and its CEO, Changpeng Zhao, recently filed for the dismissal of the Securities and Exchange Commission’s lawsuit.
Why This Matters
The collaboration of Binance and Mitsubishi UFJ Financial Group can potentially elevate the region’s crypto ecosystem through stablecoins. The lack of volatility in the asset class makes it a more approachable option for those cautious of cryptocurrencies, making it an ideal facilitator for adopting Web3 tech in the region.
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