"News Updates June 03, 2023"

1. Japan’s Largest Bank To Issue Stablecoins on Leading Blockchains. Japan’s largest bank, Mitsubishi UFJ Financial Group (MUFG), has unveiled its plans to utilize its Progmat Coin solution for the issuance of native bank-backed stablecoins on several public blockchains. <\/p>\n

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The bank aims to leverage the Ethereum, Avalanche, Cosmos, and Polygon networks for this initiative, although specific launch dates have not yet been confirmed.<\/p>\n

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Progmat Coin is designed to facilitate stablecoin issuance not only from MUFG but also from other trust banks. In line with this development, recent legislation has been enacted, granting Japanese trust banks the authority to issue stablecoins.<\/p>\n

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MUFG has been actively engaged in partnerships related to blockchain interoperability. The bank has collaborated with DataChain, a startup specializing in blockchain interoperability, as well as TOKI, a cross-chain bridge solution based on DataChain’s technology. <\/p>\n

The primary objective of these collaborations is to support cross-chain swaps, payments, and lending across public blockchains. For instance, Progmat Coin could be used for settling NFT purchases on different blockchains.<\/p>\n

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TOKI, established in Dubai earlier this year by a DataChain executive, plans to launch its bridge and introduce its own crypto token later in the year. By operating liquidity pools with Progmat Coins on multiple blockchains, TOKI will enable seamless transactions across networks.<\/p>\n

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Although the solution appears to be primarily targeted at the Japanese market, it remains unclear whether users will be required to undergo Know Your Customer (KYC) compliance measures to hold the stablecoins. Further clarification on this matter is being sought.<\/p>\n

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As MUFG pioneers the issuance of bank-backed stablecoins through Progmat Coin, the development signifies a significant step towards the integration of traditional banking and blockchain technology, with potential implications for global financial systems.<\/p>\n

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2. After Depositing $1,000,000,000, Apple Banking Customers Are Struggling to Access Their Money.<\/p>\n

After depositing more than $1,000,000,000 in a matter of weeks, Apple savings account customers say they are now struggling to withdraw their funds.<\/p>\n

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In mid-April, the iPhone creator teamed up with financial behemoth Goldman Sachs to allow Apple Card users to earn interest through a savings account.<\/p>\n

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The Wall Street Journal reports that customers of Apple’s new product are experiencing multiple issues in accessing their funds.<\/p>\n

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Some say it took weeks before they were able to move money from their Apple savings account to another bank. Others claim that the funds do not show up in their Apple savings account or in the bank they were trying to relocate their deposits to.<\/p>\n

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The Wall Street Journal details the case of Kevin Smyth who said that he tried to transfer $10,000 from his Apple savings account to another bank last month. According to Smyth, Goldman Sachs told him that his account was being reviewed for security purposes.<\/p>\n

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Says Smith,<\/p>\n

“FYI people, Apple savings account isn’t ready for prime time. Do NOT move your money there. If you do, they will hold your money hostage with ‘security reviews’ if you dare try to withdraw\/transfer to another account…<\/p>\n

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Tim Cook was your plan to partner with a bank that holds people’s life savings hostage? Do you know their view is that people shouldn’t touch their savings account for long periods of time and are enforcing that with ‘security reviews’?”<\/p>\n

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Responding to the Wall Street Journal’s request for comments, Goldman Sachs says that the “vast majority” of customers are experiencing smooth transactions whenever they try to move their funds.<\/p>\n

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“The customer response to the new savings account for Apple Card users has been excellent and beyond our expectations.<\/p>\n

While the vast majority of customers see no delays in transferring their funds, in a limited number of cases, a user may experience a delayed transfer due to processes in place designed to help protect their accounts.”<\/p>\n

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Apple’s savings account enables depositors to generate 4.15% in annual percentage yield (APY), which the company says is 10 times the national average.<\/p>"