Japan’s Stablecoin Shift Gains Global Momentum with Ripple’s RLUSD Entry

Ripple, in partnership with Japan-based SBI Holdings, announced plans to distribute its stablecoin Ripple USD (RLUSD) in Japan, targeting a market launch by the first quarter of 2026. The initiative aligns with Japan’s evolving regulatory environment for stablecoins, particularly following the amendment of the Payment Services Act in 2023. These changes, which include relaxed reserve requirements and updated licensing tiers, are expected to be fully implemented by 2026, providing a clearer legal framework for foreign-issued stablecoins like RLUSD. Under the new rules, only licensed entities such as trust banks or fund transfer service providers may issue or distribute stablecoins, creating a more structured and institutional-friendly ecosystem [1].

Ripple and SBI Holdings signed a memorandum of understanding to facilitate the rollout, with SBI VC Trade, a licensed Electronic Payment Instruments Exchange Service Provider, serving as the distributor. SBI VC Trade was the first in Japan to obtain this license, enabling it to handle foreign-issued stablecoins and allowing it to already distribute Circle’s USDC in the market [2]. The partnership builds on an existing relationship between Ripple and SBI, with SBI having invested in Ripple and previously formed a joint venture with Circle in March of this year. SBI VC Trade’s CEO, Tomohiko Kondo, emphasized that the introduction of RLUSD would not only diversify the stablecoin offerings in Japan but also significantly improve the reliability and convenience of digital assets [1].

RLUSD, Ripple’s first stablecoin initiative, was launched in December 2024 and is fully backed by U.S. dollar deposits, short-term Treasuries, and cash equivalents. It undergoes monthly third-party attestations to ensure transparency and regulatory compliance, traits that Ripple positions as differentiators in a competitive stablecoin market. Jack McDonald, Ripple’s senior vice president of stablecoins, stated that RLUSD is designed to serve as a reliable bridge between traditional and decentralized finance. The stablecoin’s institutional-grade compliance and reserve transparency are viewed as key advantages, especially in a market where regulators, banks, and corporates prioritize adherence to financial rules [2].

The rollout of RLUSD in Japan reflects the deepening collaboration between Ripple and SBI, both of whom have a long-standing presence in the blockchain sector in Asia. SBI Holdings, through its various subsidiaries, has been actively exploring the commercialization of stablecoins with other blockchain platforms, including Avalanche, and has initiated projects focused on tokenized assets. One such initiative, Project Trinity, involves seven institutions and aims to explore the use of stablecoins for security token settlement, particularly in the real estate sector. The cumulative value of security token issuances in Japan has reached Yen 193 billion ($1.3 billion), underscoring the potential for stablecoins to facilitate transactions in tokenized real estate markets [3].

The timing of Ripple’s entry into Japan’s stablecoin market coincides with increasing regulatory clarity and market demand for stable assets. Earlier this year, Circle’s USDC became the first U.S. dollar-pegged stablecoin to receive approval in Japan. In contrast, Tether’s USDT has yet to gain similar recognition. RLUSD currently has a smaller market circulation of approximately $667 million, with an average daily trading volume of around $71 million, according to CoinGecko data. Analysts suggest that RLUSD’s institutional branding and transparent reserve structure could help it gain traction in a market that values regulatory compliance [2].

Source:

[1] Ripple News: RLUSD Stablecoin to be Distributed in Japan ... (https://www.coindesk.com/markets/2025/08/22/ripple-sbi-plan-rlusd-stablecoin-distribution-in-japan-by-2026)

[2] Ripple and SBI to Launch RLUSD Stablecoin in Japan by ... (https://finance.yahoo.com/news/ripple-sbi-launch-rlusd-stablecoin-055619508.html)

[3] SBI to distribute Ripple's RLUSD in Japan as part of ... (https://www.ledgerinsights.com/sbi-to-distribute-ripples-rlusd-in-japan-as-part-of-broader-stablecoin-push/)