Sony Bank Uses Polygon Blockchain for Stablecoin Pilot Program

According to local media reports in Japan, Sony Bank announced its foray into the stablecoin world and launched a trial to issue its fiat-pegged digital currency. Working with blockchain company SettleMint, one of the most notable aspects of the pilot program is that the trial will take place on the Polygon blockchain.

Sony Bank’s strategic move

Sony Bank’s move to explore stablecoin issuance highlights the company’s strategic focus on leveraging blockchain technology and digital assets to expand the range of financial services.

By pegging the stablecoin to traditional fiat currencies like the Japanese yen, Sony Bank aims to reduce its value transaction costs and enable instant payments and transfers for individuals and businesses.

Jun Watanabe, president and representative director of Sony Network and founder of the Web3 platform Astar Network, expressed the company’s ambitious plans, which state:

Sony Bank plans to launch a stablecoin, and Sony plans to launch a blockchain with us. It’s preparing.

Furthermore, Watanabe emphasized the potential to leverage existing resources and services, rather than starting from scratch, as the most effective way to bring billions of users to the Web3 ecosystem.

This latest development is in line with Sony’s ongoing efforts to embrace blockchain technology and Web3 applications. Last year, Bitcoinist reported that Sony Network Communications partnered with Japanese Web3 technology company Startale Labs to support the advancement of Startale’s services and product development.

The partnership focused on developing all-in-one solutions for Web3 development and prioritized the integration of real-world assets into the decentralized ecosystem.

Although Polygon has refrained from making detailed statements about the partnership at the time of writing, the project’s reposting of the partnership announcement on social media site X (formerly Twitter) reaffirms its support for the initiative.

Polygon’s Stablecoin Market Cap Surpasses $1.5 Billion

From the last facts from DefiLlama, the Polygon blockchain has achieved a stablecoin market cap of $1.511 billion. However, in the past week there has been a slight decline of 1.44% in the market capitalization.

On the other hand, Tether’s USDT stablecoin continues to dominate the market stablecoin market with an impressive market share of 52.16%.

Token terminal facts also reveals additional metrics that highlight Polygon’s performance. The fully diluted market capitalization, which represents the maximum potential value of the tokens in circulation, is $9.04 billion, reflecting a decline of 13.0% over the past 30 days.

Polygon
Polygon’s market cap and token trading volume performance over the past month. Source: Token terminal

Meanwhile, the circulating market cap, taking into account the active circulating tokens, is valued at $8.93 billion, showing the same 13.0% decline.

On the trading front, Polygon’s native token MATIC has seen a positive trend in token trading volume over the past 30 days. The trading volume during this period was $19.66 billion, representing a remarkable increase of 13.1%.

Polygon
The 1-D chart shows MATIC’s price trending downward. Source: MATICUSD on TradingView.com

MATIC is experiencing a lack of bullish momentum, which coincides with the market’s general price correction. The cryptocurrency is trading at $0.8824, which represents a price drop of 3.5% in the last 24 hours.

Notably, MATIC is among the few largest cryptocurrencies that have seen negative numbers since the beginning of the year, with a price drop of 22.8% during this period, according to CoinGecko. facts.

Featured image from Shutterstock, chart from TradingView.com

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