Japan's Sumitomo Mitsui Bank Plans Stablecoin Launch with Ava Labs and Fireblocks

According to Foresight News, Japan's second-largest bank, Sumitomo Mitsui Banking Corporation, is planning to collaborate with Ava Labs, the team behind Avalanche, and Fireblocks to launch its own stablecoin. Ava Labs will provide blockchain technology for the stablecoin, while Fireblocks, a crypto security company, will develop a management system for the token. The banking giant intends to partner with local IT company TIS to conduct experiments on this project in the latter half of 2025, with the potential issuance of the stablecoin next year. Last year, Sumitomo Mitsui Banking Corporation announced plans to initiate a pilot cross-border stablecoin project in collaboration with two other major Japanese banking institutions, Mitsubishi UFJ Financial Group and Mizuho Financial Group.