Progmat, a former Mitsubishi UFJ Belief and Banking enterprise, introduced that it’s going to migrate all stay initiatives to Avalanche Layer 1 with out disrupting the operations of its monetary establishments.
The corporate has transferred over 452 billion yen (over $3 billion) of regulated actual property and stay bond tokens to public chain rails.
Japanese giants transfer to Avalanche
Avalanche confirmed the transfer in a July 10 weblog submit.
Whereas the worth of property might seize the headlines, a very powerful reality is the place these property are saved. Corda and Avalanche couldn’t be extra completely different. R3 constructed Corda as a permissioned ledger for a choose group of approved establishments, whereas Avalanche is a public chain community.
A transfer of this magnitude is definitely unprecedented. Most regulated issuers had prevented it up till this level.
Securities will proceed to be regulated. Whereas the banks, securities firms, and belief firms that deal with these tokens stay underneath strict surveillance, tokens can’t be traded freely in public wallets. The shifting half is the settlement layer the place the securities reside.
The transfer was a part of what Progmat calls “Venture Keystone.” Venture Keystone is a system redesign that enables enterprise capabilities to entry a number of blockchains. An middleman layer has been added between the ledger and its purposes, permitting it to attach with different chains with out having to construct issuing, possession, and switch processes from scratch.
This transfer transformed Progmat's sensible contracts from Corda to Solidity and made the token EVM appropriate.
Progmat added that rights switch is three to 5 instances sooner with the brand new system than with the previous system, with transactions now reaching finality inside two seconds.
Nonetheless, the corporate releases these numbers after its personal inside testing and has not undergone impartial evaluation. Additionally be aware that whereas finality refers to a accomplished on-chain transaction, it doesn’t take note of any banking or administrative procedures surrounding the transaction, and Progmat doesn’t publish transaction knowledge to that impact.
Why does timing matter?
Progmat handles nearly all of the Japanese safety token market (53.4% of transactions primarily based on variety of transactions, 64.6% primarily based on whole issuance quantity). Till this level, all this was recorded in non-public ledgers, and solely home establishments might find out about such large actions.
The transfer comes amidst a serious coverage shift in Japan's cryptocurrency house. What the Japanese authorities needs to create is Crypto ETFs are authorized and reclassifying digital property as monetary devices. The announcement was made by Finance Minister Satsuki Katayama final Thursday.
Progmat, along with its securities department; meta planet, and stablecoin issuer JPYC are a part of a deeper research into digital credit score backed by Bitcoin.
In the meantime, this represents an institutional win for Avalanche, whose AVAX token is buying and selling at $6.83, giving it a market cap of $2.86 billion.
What else is Progmat engaged on?
Progmat exhibits no indicators of slowing down and is already shifting on to its subsequent purpose. In Might 2026, the corporate established a working group inside the Digital Asset Co-Creation Consortium to contemplate placing Japanese authorities bonds on a public blockchain and mixing tokenized authorities bonds with stablecoin-based repo transactions to allow 24/7 buying and selling and same-day settlement.
The record consists of asset administration firms, banks, and BlackRock Japan, and public chains into account embrace Avalanche. Avalanche mentioned the group plans to difficulty a report in October 2026 and goals to start commercialization initiatives by the top of the yr.
