XRP News Today: Japan's Stablecoin Race Enters a New Era with Ripple's RLUSD Arrival

Ripple and SBI Holdings have announced plans to distribute Ripple USD (RLUSD) in Japan by early 2026, targeting the country's growing stablecoin market under new regulatory frameworks. The stablecoin, which launched in December 2024, is fully backed by U.S. dollar deposits, short-term U.S. government bonds, and other cash equivalents, with monthly attestations from a third-party accounting firm. These features are intended to provide regulatory clarity and institutional-grade compliance, distinguishing RLUSD from other stablecoins in the market [3]. SBI VC Trade, a licensed Electronic Payment Instruments Exchange Service Provider, will serve as the distributor, aiming to make RLUSD available in Japan during the first quarter of 2026 [2]. The partnership reflects Ripple's strategic expansion into Asia’s digital finance infrastructure and its efforts to integrate with established financial systems [1].

Ripple’s stablecoin initiative aligns with the broader trend of institutional adoption and regulatory developments in the stablecoin market. In June 2025, Ripple announced a partnership with Circle, the issuer of USDC, to bring USDC to the XRP Ledger (XRPL). This integration is expected to enhance the liquidity and utility of Ripple’s blockchain infrastructure. USDC, with a market value of around $68 billion, provides an established stablecoin alternative to RLUSD, which currently has a market cap of approximately $670 million as of August 16, 2025 [1]. The move signals Ripple’s intent to strengthen its position in the stablecoin arena while leveraging its existing blockchain infrastructure.

Japan’s regulatory environment has been evolving to accommodate digital assets, with the Financial Services Agency (FSA) recently approving the country’s first yen-backed stablecoin, JPYC, a digital currency pegged 1:1 to the Japanese yen. This approval underscores the increasing recognition of stablecoins as a viable component of the financial ecosystem. JPYC, backed by commercial bank deposits and government bonds, is expected to influence Japan’s bond market, potentially increasing demand for Japanese government bonds as stablecoin issuers use them as collateral. This development positions Japan as a key player in the global stablecoin landscape, with potential spillover effects on bond markets [4].

The rollout of RLUSD in Japan coincides with broader developments in the country’s digital asset sector. Earlier in 2025, Circle’s USDC received approval for listing in Japan via SBI VC Trade, marking the first time a foreign-issued stablecoin was cleared under Japan’s regulatory framework. This trend indicates a strategic shift in Japan’s approach to digital assets, with regulators actively fostering innovation while maintaining compliance and transparency [5]. The presence of multiple stablecoin options, including both dollar- and yen-denominated assets, is expected to enhance liquidity and utility for investors and institutions operating within Japan’s financial markets.

Ripple and SBI executives emphasized the significance of the RLUSD partnership in advancing Japan’s digital finance infrastructure. SBI VC Trade CEO Tomohiko Kondo noted that RLUSD would expand stablecoin options in the Japanese market while enhancing reliability and convenience. Ripple’s senior vice president of stablecoins, Jack McDonald, described RLUSD as a “true industry standard” that bridges traditional and decentralized finance [3]. The collaboration also highlights the deepening relationship between Ripple and SBI, which have long worked together in Asia’s blockchain ecosystem. As the stablecoin market continues to grow—now valued at over $280 billion—RLUSD’s entry into Japan could influence broader trends in institutional adoption and regulatory compliance [1].

The timing of RLUSD’s launch in Japan is strategic, given the country’s recent regulatory shifts and increasing demand for digital assets. With JPYC preparing to launch as Japan’s first yen-backed stablecoin and USDC already available, the market is primed for competition and innovation. Ripple’s RLUSD, with its institutional-grade backing and compliance structure, may appeal to investors seeking stable, regulated alternatives to traditional fiat and other digital assets. As Japan continues to refine its digital asset policies, the introduction of RLUSD could set a new benchmark for stablecoin issuance in the region [2]. This development underscores the growing importance of stablecoins in global financial infrastructure and highlights Japan’s role in shaping the future of digital finance.

Source:

[1] Ripple (XRP) and Stablecoins: 4 Things Investors Need to Know (https://finance.yahoo.com/news/ripple-xrp-stablecoins-4-things-110000919.html)

[2] 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)

[3] Ripple and SBI plan to distribute RLUSD in Japan (https://ripple.com/ripple-press/ripple-and-sbi-plan-to-distribute-rlusd-in-japan/)

[4] Japan to approve first yen-backed stablecoin (https://thepaypers.com/crypto-web3-and-cbdc/news/japan-to-approve-first-yen-backed-stablecoin)

[5] Japan to Approve First Yen-Backed Stablecoin This Fall (https://cointelegraph.com/news/japan-approves-first-yen-stablecoin-jpyc)