Japanese e-commerce giant DMM Group considers stablecoin pilot

Japan-based e-commerce company DMM Group and Progmat have launched a joint research to launch a stablecoin.

DMM.com, along with its subsidiary DMM Crypto, is collaborating with Progmat to explore stablecoin issuance.

According to DMM’s press release on August 23, the planned stablecoin will initially be integrated into DMM Group’s digital economy project, Seamoon Protocol. The aim is to stabilize the value of Seamoon Protocol, expand the token economy, and ultimately increase the value of its native token.

The launch of the stablecoin will take place in three stages. First, the stablecoin will anchor the value of the Seamoon Protocol. Second, it will be used as a payment method within DMM Group companies. Finally, the stablecoin will enable transactions between registered partners and verified users (such as players).

DMM’s stablecoin move mirrors Japan’s cashless transition

In the third phase, DMM Group plans to expand the use of the stablecoin to transactions between whitelisted partners and verified users, including gamers, paving the way for broader adoption as a payment solution. DMM Group and Progmat aim to launch the stablecoin by the end of fiscal 2024, with initial issuance and testing taking place on a testnet.

The initiative aligns with Japan’s broader trend to explore stablecoins as part of the country’s gradual transition to a cashless society. For example, Hokkoku Bank recently became the first Japanese bank to launch its own stablecoin, Tochika, which is backed by bank deposits and aims to facilitate digital transactions in a historically cash-dependent country.