Progmat, a former Mitsubishi UFJ Trust and Banking venture, announced the migration of all live projects to Avalanche Layer 1 without any disruption in the operations of the financial institutions using it.
The company moved over ¥452 billion (over $3 billion) of regulated real estate and live bond tokens to public-chain rails.
Japanese giant has moved to Avalanche
Avalanche, in a July 10 blog post, confirmed the move.
While the value of the assets may draw the headlines, the most important fact is where those assets are stored. Corda and Avalanche couldn’t be any more different. R3 built Corda as a permissioned ledger for select groups of licensed institutions, while Avalanche is a public-chain network.
A move of such a scale is definitely unprecedented; most regulated issuers avoided it before this point.
The securities will stay regulated. The banks, brokerages, and trust firms handling remain under close monitoring, while public wallets are unable to trade the tokens freely. The part that moves is the settlement layer, where the securities are resident.
The move was a part of what Progmat termed “Project Keystone.” Project Keystone is a system redesign that makes it possible for business functions to access multiple blockchains. A mediation layer was added between the ledger and its applications, allowing it to connect with other chains without building issuance, ownership, and transfer processes from scratch.
Under the move, Progmat’s smart contracts were converted from Corda to Solidity, making the tokens EVM-compatible.
Progmat has said rights transfers are three to five times faster on the new system than on the old one, adding that transactions now reach finality in two seconds or less.
However, the company released those figures after its own internal testing and has not gone under independent review. It’s also worth noting that while finality signifies a completed on-chain transaction, it does not account for the banking and administrative steps around a trade, and Progmat has not released transaction data to that effect.
Why’s the timing relevant?
Progmat handles a majority of Japan’s security-token market (53.4% of deals by count and 64.6% by total issuance value). Up to this point, all these were on a private ledger, and only domestic institutions were privy to such enormous activity.
The transfer comes in the middle of a major policy shift in Japan’s crypto space. The Japanese government wants to make crypto ETFs legal and reclassify digital assets as financial products. The announcement was made by the Finance Minister, Satsuki Katayama, last Thursday.
Progmat, along with its brokerage branch, Metaplanet, and JPYC, a stablecoin issuer, are part of a deeper study into Bitcoin-backed digital credit.
On the other hand, this presents an institutional victory for Avalanche, with its AVAX token trading at $6.83 with a $2.86 billion market cap.
What else is Progmat working on?
Progmat isn’t slowing down at all, already moving to its next target. In May 2026, it launched a working group inside its Digital Asset Co-Creation Consortium to study putting Japanese Government Bonds on public blockchains, pairing tokenized JGBs with stablecoin-based repo transactions to enable 24/7 trading and same-day settlement.
The roster includes asset managers, banks, and BlackRock Japan, with Avalanche among the public chains under consideration. Avalanche says the group plans to publish a report in October 2026 and aims to launch a commercialization project before year-end.
