Sumitomo Mitsui Launches Stablecoin Experiment with Ava Labs and Fireblocks

Sumitomo Mitsui Financial Group, a prominent Japanese financial institution, has partnered with Ava Labs and Fireblocks to develop a fiat-pegged stablecoin. The project aims to explore the potential of stablecoins in intercompany payments and other applications within the financial landscape. 2025 will see a pilot phase commence, leveraging the expertise of IT firm TIS, with the aim of testing the use of this technology for payment purposes that bypass traditional systems like SWIFT. This initiative aligns with Japan’s growing interest in blockchain finance and presents opportunities to streamline financial processes.