RLUSD Gains Japan Approval
Ripple's RLUSD Stablecoin Receives FSA Approval, Goes Live in Japan via SBI VC Trade
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Key Points
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RLUSD is now available to both institutional and retail users in Japan via SBI VC Trade's VCTRADE platform, expanding access beyond institutional use only.
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RLUSD is backed 1:1 by reserves including U.S. dollar deposits, short-term U.S. government bonds, and other cash equivalents, supporting its peg and risk profile.
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Japan’s June 1 framework lets qualifying foreign stablecoins operate as regulated payment tools, with RLUSD classified as a new type of instrument under the Payment Services Act.
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Ripple’s long-standing partnership with SBI Group dates back to 2016, and Japan-related activity includes XRP being listed on Rakuten Wallet as part of broader adoption.
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Japan’s broader stablecoin ecosystem includes SBI Group’s JPYSC yen-backed stablecoin and plans by MUFG, SMBC, and Mizuho to enable live transactions with a jointly issued stablecoin within the current fiscal year.
Ripple's dollar-backed stablecoin RLUSD went live in Japan on June 25, 2026, after Japan's Financial Services Agency approved it as a regulated payment instrument. The launch makes Japan one of the first major markets to allow a foreign-issued stablecoin for both retail and institutional use under strict government oversight, according to Crypto Briefing.
RLUSD is now available on SBI VC Trade's VCTRADE platform. It carries a market cap of roughly $1.70 billion — a fraction of Tether's $188 billion, but a meaningful foothold in one of the world's most tightly regulated crypto markets, according to Crypto News.
Japan's New Rules Open the Door for Foreign Stablecoins
Japan's Payment Services Act was updated on June 1, 2026. The update created a "Type 4 Electronic Payment Instrument" category. This is a legal slot designed for foreign-issued stablecoins that meet strict Japanese standards. RLUSD is the first major stablecoin to qualify under it, according to Head Topics.
The path to this framework was not smooth. The 2022 Terra/LUNA collapse briefly led Japan to ban foreign stablecoins entirely. Regulators then spent years building a compliance-first replacement. RLUSD clears that bar through a dual structure: it is issued by Standard Custody & Trust Company under a New York State charter, then distributed in Japan by licensed partner SBI VC Trade, according to Crypto Briefing.
A Decade-Long Ripple-SBI Partnership Finally Bears Fruit
Ripple and SBI Holdings have been tied together since 2016, when they formed SBI Ripple Asia and SBI took roughly a 9% stake in Ripple Labs. They signed a formal memorandum of understanding in August 2025 specifically to bring RLUSD to Japan. SBI began a quiet soft launch for select partners on March 31, 2026.
SBI CEO Yoshitaka Kitao has called the Ripple partnership a "major profit pillar" for his group. Ripple SVP Jack McDonald framed the launch as a bigger opportunity: "Japan has long been a leader in digital asset adoption," he said, adding that RLUSD gives Japanese businesses access to "transparent, regulated USD-backed" liquidity on a global scale, according to CoinGabbar.
RLUSD Positioned as a Bridge, Not Just a Stable Store of Value
Ripple says RLUSD will do more than hold a dollar peg. The company is pitching it as a bridge for cross-border payments, tokenized asset settlement, and collateral management. Its reserves are 106.2% backed — above the 1:1 minimum — with U.S. dollar deposits, short-term government bonds, and cash equivalents, according to Grafa.
Analysts at Presto Research called RLUSD's approval a "significant milestone" because it clears one of the world's toughest regulatory hurdles. That makes it a credible alternative to USDT for Japanese corporations doing cross-border trade. Still, some traders stayed cautious — XRP traded near $1.06 to $1.17 even after the news, with bearish derivatives data offsetting the positive headlines.
Japan's Stablecoin Race Heats Up With New Rivals on the Way
RLUSD enters a market already in motion. SBI Group is developing JPYSC, a yen-backed stablecoin. Japan's three largest banks — MUFG, SMBC, and Mizuho — announced plans in June 2026 to jointly issue their own stablecoin by March 2027. Retail access to XRP also grew, with Rakuten Wallet listing it as part of broader adoption, according to CoinGabbar.
RLUSD holds about 0.5% of the global $320 billion stablecoin market. But Japan's strict licensing rules cut both ways: they limit competition and give approved tokens a regulatory stamp that carries real weight with institutional buyers. Ripple is also expanding into Turkey, Abu Dhabi, and Dubai, using Japan as a regional anchor for a wider global liquidity push, according to Head Topics.
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