Sumitomo Mitsui Financial Group (SMFG), in collaboration with Sumitomo Mitsui Banking Corporation (SMBC), TIS, Ava Labs, and Fireblocks, has formed a strategic alliance to explore the commercial potential of stablecoins. This collaborative initiative aims to develop a comprehensive framework for issuing and circulating stablecoins, addressing critical aspects such as technology, regulation, and market infrastructure. The partnership will venture beyond pilot projects to identify specific use cases that can effectively integrate stablecoins into various commercial applications. Furthermore, the collaboration will investigate the potential of stablecoins as a settlement tool, specifically exploring their utilization in settling tokenized financial assets, including government and corporate bonds, real estate, and other tangible goods.