Japan’s largest security token platform Progmat completes migration to Avalanche, with more than $2.7 billion in assets officially on-chain

BlockBeats message: On July 13, Japan’s largest security token issuance and management platform, Progmat, has completed its migration to the Avalanche blockchain. All tokenized assets under its custody, with a value exceeding ¥452 billion (about $270 million), have been moved from a permissioned chain based on Corda 5 to a dedicated Avalanche Layer1.

The migration was announced in February this year and, as planned, has been completed without affecting the normal operations of financial institutions throughout the process. Progmat said that the new architecture no longer relies on a single blockchain, enabling future multi-chain expansion. All smart contracts have been migrated to the EVM environment. While maintaining the original functions unchanged, the processing speed for asset and rights transfer has increased by 3 to 5 times, and the time for final transaction confirmation has been reduced to within 2 seconds.

Progmat was originally incubated by Mitsubishi UFJ Trust Bank (MUFG), Japan’s largest bank, and began independent operations in 2023. It is currently supported by major Japanese financial institutions including Mizuho Bank, the Tokyo Stock Exchange, and SBI, holding 53% market share in Japan’s security token market, 64.6% of the total issuance scale of security tokens. It covers most tokenized real estate and corporate bond projects.

In addition, Progmat established the Japan government bond tokenization and on-chain repo (Repo) working group in May this year, working with asset management institutions, banks, and securities firms to study tokenizing Japanese government bonds and exploring application scenarios such as 7×24-hour trading and T+0 real-time settlement.