Progmat has completed the migration of its security token platform to a public Avalanche Layer 1, moving about $2.7 billion in active tokenized assets off a private Corda ledger. The shift hands Avalanche a central role in Japan’s regulated tokenization market and points toward faster settlement and broader access.
Progmat has moved more than ¥452 billion, or about $2.7 billion, in active tokenized assets from a private Corda 5-based ledger onto a dedicated public Avalanche Layer 1. The company completed the migration on schedule after first announcing it in February, and financial institutions using the platform kept operating without disruption.
The scale gives the move weight. Progmat holds about 53% of Japan’s domestic security token market and 64.6% of total issuance value, so its infrastructure choices shape how other institutions approach tokenization. It was developed inside Mitsubishi UFJ Trust and Banking before being spun out as an independent company in October 2023, and it is backed by Mizuho, the Tokyo Stock Exchange, and SBI.
Faster rights transfer on a public chain
The migration was not just a ledger swap. Progmat redesigned its architecture so the platform is no longer tied to a single blockchain, and all existing smart contracts were ported to the Ethereum Virtual Machine without changing the behavior of live projects.
The clearest gain shows up in rights transfer. Progmat said the process is now approximately 3 to 5 times faster than before, with finality in under 2 seconds. Moving to a public, EVM-compatible chain also widens reach, because the previous permissioned setup largely limited access to Japanese financial institutions.
Why Japan’s tokenized securities market watches this
Japan has become one of the more advanced markets for regulated security tokens, particularly tokenized real estate and corporate bonds. The migration hands Avalanche a larger role there, and what stands out is the type of assets involved: regulated tokens tied to banks, securities firms, and exchange infrastructure rather than crypto-native products.
Progmat is also studying a bigger question. In May it launched a Tokenized Government Bonds and On-Chain Repo Working Group with asset managers, banks, and securities firms to examine how 24/7 trading and same-day T+0 settlement could affect Japanese Government Bond markets. Those bonds sit at the center of collateral, liquidity management, and repo activity, a far larger base than the real estate and corporate debt already tokenized on the platform.
Source: FinanceFeeds
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