TOKYO, Oct 17 (Reuters) - Japan's three largest banks,

Mitsubishi UFJ Financial Group ( MUFG ), Sumitomo Mitsui

Financial Group ( SMFG ) and Mizuho Financial Group ( MFG ),

will jointly issue "stablecoins", digital currencies pegged to

the value of real-world currencies, the Nikkei business daily

reported on Friday.

The banks will build a structure for their corporate clients

to allow for stablecoins to be transferred between them along

uniform standards, initially issuing a yen-pegged coin and

potentially a dollar-pegged coin in the future, the Nikkei said.