Ripple and SBI Partner to Launch RLUSD Stablecoin in Japan

Ripple and SBI Team Up for RLUSD Launch in Japan

Ripple and SBI Holdings are joining forces to introduce the RLUSD stablecoin to the Japanese market, targeting an early 2026 launch. This move is strategically timed to capitalize on Japan's evolving stablecoin regulations, which now permit foreign issuers under specific licensing conditions.

The partnership hinges on a memorandum of understanding that will see Ripple's RLUSD distributed via SBI VC Trade, SBI's licensed cryptocurrency exchange. According to SBI VC Trade CEO Tomohiko Kondo, this collaboration aims to improve the "reliability and convenience of stablecoins in the Japanese market."

Regulatory Landscape in Japan

Japan's Payment Services Act amendment, effective since June 2023, has created a licensing regime for electronic payment instruments. Further refinements, anticipated by 2026, include relaxed reserve requirements and updated licensing tiers. These regulatory changes have paved the way for regulated stablecoin launches like RLUSD.

Under the new framework, only licensed entities can issue or distribute fiat-pegged stablecoins. SBI VC Trade secured the first Electronic Payment Instruments Exchange Service Provider license in Japan, allowing it to handle foreign-issued stablecoins.

Market Dynamics and Competition

Rick Maeda, a Tokyo-based analyst at Presto Research, highlights Ripple's strategic advantage: "Japan quietly has a very structured and bank-friendly crypto regime...Ripple leverages this regulatory moat as well as SBI's deep retail and institutional reach."

Maeda points out that RLUSD's "institutional branding and reserve transparency" could give it an edge over competitors. Circle's USDC has already received approval in Japan, while Tether's USDT is still awaiting similar approval.

RLUSD currently has a smaller market circulation of approximately $667 million with an average daily trading volume of roughly $71 million. Ripple asserts that RLUSD is backed by cash, short-term Treasuries, and cash equivalents with monthly reserve attestations under a New York State trust-company charter.

Key Takeaways:

• Ripple and SBI Partnership: Launching RLUSD stablecoin in Japan by early 2026.
• Regulatory Advantage: Japan's revised Payment Services Act opens doors for foreign stablecoin issuers.
• Competitive Landscape: RLUSD aims to compete with USDC and USDT through compliance and transparency.