By extending its collaboration with long-term local partner SBI Group, Ripple has received approval from the Japanese Financial Services Agency (JFSA) to launch its stablecoin available in the country.

The company’s Senior Vice President of Stablecoins praised the Japanese regulatory environment and called it a leader in cryptocurrency adoption.

RLUSD in Japan

The green light became possible from SBI Holdings, through its Electronic Payment Instruments Exchange Service Provider-licensed subsidiary SBI VC Trade Co., LTD, announced the launch of RLUSD in the Japanese market.

The partners initially signed a memorandum of understanding (MoU) in August this year. They explained this official launch marks the stablecoin’s major entry into one of the most “sophisticated and forward-looking digital assets markets.”

The license from the JFSA reads that RLUSD is described as a new type of electronic payment instrument under the country’s Payment Services Act. It’s designed for foreign-issued stablecoins that ensure the safety and regulatory standards required under local law. The statement added that both institutional and retail users will have access to Ripple’s stablecoin through SBI VC Trade’s VCTRADE platform.

“Japan has long been a leader in digital asset adoption, underpinned by both regulatory clarity and financial innovation. This launch marks an important step in expanding access to transparent, regulated USD-backed stablecoins like RLUSD for financial institutions, consumers, and businesses in Japan,” commented Jack McDonald, Ripple’s Senior VP of Stablecoins.

Meanwhile, SBI VC Trade CEO, Tomohiko Kondo, praised the long-standing partnership between his entity and Ripple, and highlighted RLUSD’s launch in Japan as the latest major milestone reached by both parties.

RLUSD Keeps Growing

Despite its then-legal issues in the US, Ripple managed to launch its own stablecoin at the end of 2024. It’s primarily focused on institutions, but it has experienced substantial adoption growth across several fronts in the past two years, including from Mastercard.

The company has collaborated with numerous exchanges to enhance its usability and liquidity. Data from CoinGecko shows that RLUSD’s market cap has grown to $1.6 billion, slightly off the $1.7 billion claimed by Ripple. Nevertheless, it’s still among the 50 largest cryptocurrencies by market cap, and it’s the 10th-biggest in its stablecoin niche.

Source: CryptoPotato