Japan's Mitsubishi Yen Coin Is in Sight... Only Korea Is Left Behind in Global Payment System

Major foreign media outlets unanimously assessed that the U.S. Senate's stablecoin bill 'GENIUS' passing the cloture vote is a "significant first step in stablecoin regulation". Decrypt, a cryptocurrency specialized media, analyzed that "this bill dramatically revived after being on the verge of rejection just two weeks ago" and "key Democratic lawmakers who previously voted against it changing their stance and voting in favor was effective". Local sources believe the bill will likely pass with similar approval rates in the final plenary session. The Senate plenary vote is expected to take place as early as the 20th (local time). Unlike the cloture vote requiring over 60 votes, the plenary session vote can pass with a simple majority. Jo Yoon-sung, a senior researcher at Tiger Research, said, "The GENIUS Act is an important turning point for the U.S. to first incorporate stablecoins into the institutional framework" and predicted that "with legal uncertainties resolved, large-scale funds will flow in and innovation will occur". What's important is that major countries are focusing on stablecoin adoption and regulation. Even conservative Japanese banking circles are promoting the commercialization of yen stablecoins by year-end, centered on major banks. Currently, 'Project Pax', led by Japan's top three megabanks - Mizuho, Sumitomo Mitsui (SMBC), and Mitsubishi UFJ Financial Group (MUFG) - aims to build a cross-border remittance platform based on stablecoins. The goal is to enable financial institutions to remit stablecoins based on existing remittance infrastructure. A stablecoin issuance platform complying with Japanese regulations, 'Progmat Coin', is also being prepared. According to the industry, MUFG is known to forecast that the yen-linked stablecoin market could reach up to $7 billion. The crypto media The Cryptonomist reported, "Mitsubishi is preparing to issue Japan's first stablecoin" and that "we are approaching a historically important moment". That's not all. SMBC is also pursuing issuing stablecoins with the Avalanche blockchain. Circle, which issues the dollar-based stablecoin USDC, even launched USDC on SBI VC Trade, a crypto exchange, in March by partnering with Japanese financial firm SBI. Experts pointed out that as the U.S. is further strengthening its leadership in the stablecoin industry through the GENIUS Act, and Japan and the European Union are competitively entering the market, Korea should also promptly organize its system. The EU's Markets in Crypto-Assets (MiCA) imposed requirements on stablecoins such as mandatory issuer residence in the EU, 1:1 liquidity maintenance of reserve assets, and annual stress test obligations. This indirectly prevents the indiscriminate penetration of dollar stablecoins. Seo Byung-yoon, director of DSRV Labs Future Finance Research Institute, emphasized, "With 98% of currently circulating stablecoins being dollar-based, the U.S. is once again solidifying its top position through this bill" and "as the usage base of dollar stablecoins expands, the economic territory of the won will shrink. To counter dollar dominance, we must urgently legislate and nurture won stablecoins and establish consumer protection systems". In fact, the cryptocurrency industry often suggests allowing won stablecoin issuance for trusted issuers. This can promote innovation in domestic payment settlement technology and strengthen the won's competitiveness in the digital asset market. An industry official noted, "The U.S. and Japan are promoting national currency hegemony and payment innovation using stablecoins" and "as Korea lacks a regulatory framework for won stablecoins and has unclear strategic response to the U.S.-centered stablecoin market, we need to allow private issuance of won coins to follow global standards".