XRP News Today: "Ripple and Japan's Regulators Forge Stablecoin Standard"

Ripple and SBI Holdings have announced plans to launch Ripple USD (RLUSD), a U.S. dollar-backed stablecoin, in Japan by the first quarter of 2026. The partnership, formalized through a memorandum of understanding, will see SBI VC Trade, a licensed Electronic Payment Instruments Exchange Service Provider, act as the distributor of RLUSD in the region. This move aims to capitalize on Japan’s evolving regulatory environment, which has increasingly positioned itself as a leader in digital finance infrastructure.

RLUSD, Ripple’s first stablecoin initiative, is fully backed by U.S. dollar deposits, short-term Treasuries, and cash equivalents. The stablecoin will also undergo monthly third-party attestations to ensure transparency and regulatory compliance. This structure is intended to provide institutional-grade security and regulatory clarity, differentiating RLUSD from other stablecoins in the market. Ripple’s senior vice president of stablecoins, Jack McDonald, emphasized that RLUSD is designed to serve as a “true industry standard,” bridging the gap between traditional and decentralized finance.

The partnership between Ripple and SBI reflects a broader trend in Japan’s regulatory evolution. The country’s Payment Services Act amendment, enacted in June 2023, established a licensing framework for electronic payment instruments, including stablecoins. This framework, refined through successive amendments, will be fully operational by 2026 and includes relaxed reserve requirements and updated licensing tiers. SBI VC Trade, as the first entity in Japan to secure an Electronic Payment Instruments Exchange Service Provider license, is well-positioned to facilitate the distribution of RLUSD.

Industry analysts have noted the strategic advantages of this partnership. Rick Maeda, a Tokyo-based analyst at Presto Research, highlighted that Ripple is leveraging Japan’s “structured and bank-friendly crypto regime” and SBI’s extensive institutional reach. He further pointed to RLUSD’s institutional branding and reserve transparency as competitive differentiators in a market that prioritizes compliance. The Japanese financial sector, including banks and regulators, has shown a strong preference for stablecoins that operate under clear legal frameworks and demonstrate transparency.

The rollout of RLUSD in Japan is also part of Ripple’s broader expansion strategy in Asia. Ripple and SBI have collaborated since 2016, co-founding SBI Ripple Asia to expand Ripple’s services in the region. The RLUSD launch follows other notable developments, including the approval of Circle’s USDC in Japan in March 2025. However, Tether, another major stablecoin issuer, has not yet received similar regulatory approval in the country. RLUSD’s current market capitalization of approximately $667 million places it at around 0.24% of the global stablecoin market, which is valued at over $280 billion.

As of now, RLUSD is not widely used in Japan. However, the company has seen a 26% increase in market share in recent months, according to CoinMarketCap. The token has also been integrated into the XRP Ledger (XRPL), further enhancing its utility in cross-border payments and settlements. Ripple is also exploring the possibility of obtaining a U.S. banking license, which would further solidify its position in the evolving landscape of digital finance.

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] Ripple Taps SBI to Distribute RLUSD Stablecoin in Japan, ... (https://cryptopotato.com/ripple-taps-sbi-to-distribute-rlusd-stablecoin-in-japan-but-xrp-falls/) [4] Japan startup to issue first yen-pegged stablecoin (https://www.reuters.com/sustainability/boards-policy-regulation/japan-startup-issue-first-yen-pegged-stablecoin-2025-08-19/) [5] 'JPYC' could become Japan’s first local stablecoin (https://coingeek.com/jpyc-could-become-japan-first-local-stablecoin/) [6] Japan Set to Approve First Yen-Backed Stablecoin This ... (https://bravenewcoin.com/insights/japan-set-to-approve-first-yen-backed-stablecoin-this-fall-marking-historic-shift-in-digital-currency-policy) [7] Crypto Lawyer Reveals Key Drawback with Tether's USDT ... (https://coingape.com/crypto-lawyer-reveals-key-drawback-with-tether-sdt-rlusd-better/) [8] Ripple (XRP) and Stablecoins: 4 Things Investors Need to Know (https://finance.yahoo.com/news/ripple-xrp-stablecoins-4-things-110000919.html) [9] Stablecoins explained: Crypto's big bang moment? (https://www.fia.org/marketvoice/articles/stablecoins-explained-cryptos-big-bang-moment)