MUFG to test Japanese government bond repos on Canton Network

Four companies within Mitsubishi UFJ Financial Group have launched a proof of concept to test Japanese government bond repo transactions on the Canton Network, with the project targeting automated processing and 24-hour on-chain settlement. Summary Four MUFG companies will test Japanese government bond repo transactions on the Canton Network. The proof of concept will examine automated transaction processing and real time settlement available 24/7. Digital Asset Holdings and Progmat will participate in the trial alongside MUFG, Mitsubishi UFJ Morgan Stanley Securities, Mitsubishi UFJ Trust and Banking and MUFG Bank. The project is part of Japan’s FSA backed Payment Innovation Project for testing blockchain based payments and settlement. According to a Thursday announcement from MUFG, Mitsubishi UFJ Morgan Stanley Securities, Mitsubishi UFJ Trust and Banking and MUFG Bank will work with Digital Asset Holdings and Progmat on the trial. The companies plan to examine whether blockchain infrastructure can automate more of the repo transaction lifecycle while allowing transactions to settle in real time throughout the day. The participants will also assess whether the model can improve t...