TOKI and Noble to Bring Japanese Stablecoins to the Cosmos Ecosystem, in Partnership with MUFG
TOKI and Noble have formed an exciting partnership which aims to introduce fully collateralized fiat-backed Japanese stablecoins to the wider interchain ecosystem. This partnership will leverage Noble’s native asset issuance infrastructure which is purpose-built for institutions looking to issue highly liquid stablecoins, among other types of crypto-assets, in a manner consistent with strict regulatory adherence.
Additionally, the partnership will further expand the ecosystem by giving developers and entrepreneurs direct access to fully collateralized and regulated native Japanese stablecoins, thereby unlocking a host of exciting real-world use cases for cryptocurrencies.
TOKI is an IBC-enabled bridging provider for various blockchains such as Cosmos appchains and EVMs. The core infrastructure is built by Datachain — a blockchain interoperability R&D team that has been working on developing and standardizing core interchain protocols with large institutions and enterprises. Datachain is also a grantee of the Interchain Foundation, and previously produced the first implementation of IBC in Solidity (IBC-Solidity).
TOKI has recently teamed up with Progmat — a project spearheaded by Mitsubishi UFJ Financial Group (MUFG), other Japanese megabanks and JPX — to launch stablecoins on multiple public blockchain ecosystems, including the interchain and Ethereum. This collaboration is in partnership with over 200 companies, including Japan Exchange Group (JPX) and major Japanese banks such as MUFG, SMBC and Mizuho.
A reliable Japanese stablecoin is the beginning of a larger effort to cement Japan as a leading cryptocurrency hub for tokenized assets on public blockchains. Japanese businesses, including startups and large enterprises, will be able to tap into the vast potential of public blockchain infrastructure to facilitate the mass adoption of digital assets in a way that is both useful and tangible for the average consumer. To learn more about how TOKI will enable cross-chain activity for fully collateralized Japanese stablecoins, read this blog post.
Further, the revisions to Japan’s Payment Services Act has made it possible for stablecoin innovation to flourish. While stablecoins have found incredible product-market fit globally, the number of businesses licensed to handle them has been limited. This collaboration between Progmat and Japan’s largest banks and corporations will advance the mass adoption of permissionless stablecoins that can be freely and safely used by Japanese businesses and consumers alike. These stablecoins will be pegged to a variety of currencies, including JPY, USD and other fiat currencies, thus referring to them more broadly as “Japanese stablecoins.” These crypto assets will be propagated via permissionless public blockchain networks including Noble.
What This Partnership Unlocks
Launching Japanese stablecoins on Noble as a gateway for the broader interchain ecosystem is straightforward, and any Cosmos-SDK blockchain, such as dYdX, Osmosis, etc., can seamlessly utilize stablecoins via a permissionless IBC connection with Noble.
However, our ambitions extend beyond this goal. Through this strategic partnership, we envision integrating existing Cosmos appchain applications to enable a wide range of cross-chain use cases “in a single transaction,” leading to a significant expansion of the ecosystem.
Some ground-breaking use-cases include:
- Cross-chain swaps: Stablecoins on Ethereum, like USDT, USDC or the upcoming Japanese stablecoins can be swapped into any token in the interchain ecosystem by integrating with DEXs (e.g., Osmosis) in a single transaction, and by working with Noble to efficiently route liquidity.
- Cross-chain lending: Users can deposit their NFT into UnUniFi to borrow stablecoins on Ethereum with a straightforward user experience.
- Cross-chain migration: dYdX users can migrate their deposit on Ethereum into dYdX v4 in Cosmos easily.
Of course, potential use cases that arise from this collaboration are vast and extend far beyond the examples mentioned. Together, TOKI, Noble, and our visionary partners at Progmat are propelling the vision of an interconnected network of blockchains, shaping the future of “the Internet of Blockchains.”
The Partnership Between TOKI and Noble
Noble, a native-asset issuance platform, has partnered with Circle to bring USDC to the interchain. Noble’s goal is to onboard institutional partners to the growing interchain by providing a seamless path to asset issuance. Now, TOKI and Noble are working together to accelerate the introduction of Japanese stablecoins within the ecosystem.
As highlighted in Noble’s post, a highly liquid and fully collateralized native U.S. Dollar fiat-backed stablecoin was a critical missing piece to be able to facilitate more efficient liquidity and onboard mainstream applications to the interchain. Additionally, launching fiat-backed stablecoins for the Japanese market is essential to onboarding a swath of Japanese businesses and consumers into the ecosystem. TOKI and Noble are actively collaborating with Progmat to make this initiative a reality.
Furthermore, since TOKI provides the first IBC-enabled unified liquidity across various blockchains, users will be able to natively make a token swap between Cosmos appchains and EVM chains, including Ethereum, in a single transaction. In addition to the Japanese stablecoins, TOKI will support a variety of stablecoins, including USDC and USDT.
This initiative holds significant importance both for Noble and the entire interchain, and generous support and engagement from the community will drive this forward. So, we warmly welcome contributions from the community.
Looking forward to seeing more Cosmonauts get excited about this initiative. Join us and share your thoughts on social media to be a part of this exciting journey🚀
Comment from Jelena, Founder of Noble
We’re extremely excited to be collaborating with TOKI on Japanese stablecoins for Cosmos! The Japanese market offers vast potential for onboarding a diversity of businesses to Web3,, and the launch of Japanese stablecoins will be a pivotal step toward tapping into this potential. TOKI and Noble are on the same path, aiming to provide native and fiat-backed stablecoins to the entire Cosmos community, and ultimately working together to drive the ecosystem further towards real-world mass adoption.
Looking Ahead: Our Future Plans
We plan to develop and launch the issuance of stablecoins on Noble by spring 2024 after thoughtful discussions among relevant companies, including Noble and Progmat. We’d love your support, so stay tuned!
The cross-chain bridge of TOKI itself is scheduled to launch its mainnet in Q4 2023 or Q1 2024. As we’ll be releasing information about airdrops and other future initiatives, make sure to follow us on Twitter @tokifinance and Telegram, and don’t miss important updates.
Reach out to contact[at]toki.finance if you want to discuss future partnerships or funding opportunities with us.
What is Progmat?
Progmat is an innovative project focused on transforming various forms of value into digital assets and seamlessly connecting society through their programmable networks.
Conceived and launched by Mitsubishi UFJ Trust and Banking, the project has become a significant influence in the Japanese financial landscape. Over 200 companies are involved, including Japan Exchange Group (JPX) and major Japanese banks like SMBC and Mizuho, all working together to enhance the initiative’s impact and reach even more.
Progmat offers three kinds of token issuance platforms: security tokens, utility tokens, and stablecoins. And what’s innovative about Progmat is that they’re going to roll out multi-chain deployments, even on public blockchain ecosystems such as Ethereum and the interchain.
This means they’re making it possible to issue stablecoins that adhere to Japan’s strict level of regulatory compliance on public Layer 1 chains. It’s a game changer and marks a major step in bringing Japan’s real-world assets (RWA) into public blockchain ecosystems and blending traditional finance with Web3.
As mentioned above, Progmat and TOKI announced their partnership to bring Japanese stablecoins into public blockchains in May 2023.
Please visit the link below to learn more about Progmat:
What is TOKI?
TOKI was founded to provide top-notch cross-chain bridges with an emphasis on security and UX. TOKI boasts three key features that set it apart:
- Secure and Extensible: By utilizing IBC and LCP as messaging protocols, TOKI enables exceptional inter-blockchain communication, focusing on both safety and extensibility.
- Efficient Liquidity and Native Token Swap: We’ve introduced Unified Liquidity, which allows for highly efficient liquidity and native token swap.
- High Composability: Dapps can easily integrate with TOKI through SDK, enabling cross-chain functionality
Fun fact: The name “TOKI” is derived from a traditional Japanese migratory bird, “Japanese Crested Ibis”. Just like these birds, we aim to seamlessly connect various blockchains, creating smooth transitions between them. Soar through the blockchain skies with us!
Together with Datachain, TOKI’s core development partner who boasts a proven track record of expertise in IBC, and having received grants from the Interchain Foundation twice, we are diligently working to advance the development of our cross-chain bridge. We anticipate launching it by the end of 2023.
TOKI is set to play a pivotal role in fostering stablecoin issuance across multiple blockchains, enabling cross-chain functionalities, and maintaining the high level of security inherent in IBC.
To learn more about TOKI, please visit the link below.
