It’s been a tough month for the cryptocurrency market. The market capitalization of the market went from $750 billion to around $550 billion in just under two weeks. Almost all alt coins decreased in value with the recent announcement that South Korea will be banning cryptos. However, with such “gloominess” among investors, things are looking bright as financial institutions seem bullish on the future of cryptos.
One recent example comes from Mitsubishi UFJ Financial Group (MUFG). The company is now introducing a new cryptocurrency in March. According to Ethereum World News, MUFG is among the globe’s most involved institutions, turning over $4.5 trillion in recent revenues. With total assets of over half that mark, the group is in a pivotal position for cryptocurrency. Members of the Japanese financial sector will have a first look at the MUFG coin before it is more widely spread into the general market. Handed down within the next couple months, it will be distributed on a limited basis by year’s end.
Unlike other countries that search for ways to limit the crypto boom, Japan is at the forefront of financial innovation and crypto developments. What is more, a huge portion of Japanese businesses now accept Bitcoin as official payment. Many bars, restaurants, bookstores and other establishments became pro-Bitcoin in late 2017.
The innovation that MUFG is currently preparing is essential, since the new coin will help citizens acquire more retail mind towards cryptos and Bitcoin. Even though the market is experiencing large volatility these days, Japan will outsmart other countries by offering lower transaction costs, efficient interest rates and more control given to people transacting with cryptos. According to press, MUFG hopes that the new coin will act as a type of credit card, but with all the benefits of blockchain and cryptos.
The bank also plans to anchor one MUFG coin to one Japanese yen so as to instil confidence in people that the value of the new coin will be stable. According to Cointelegraph, “another local company, the e-commerce giant DMM Group, launched its own 7-asset cryptocurrency exchange on Jan. 11, which highlights the growing level of Blockchain tech adoption in Japan.”