Major Ripple Partner Reveals Bold Plans for RLUSD, ETFs And Global Payments

Japan’s SBI Holdings has published its latest investor report. They laid out an ambitious roadmap to expand Ripple-based payments, roll out the RLUSD stablecoin on its platform, and launch crypto asset ETFs. 

SBI Holdings Outlines RLUSD Adoption Plan and Ripple Partnership Progress

SBI Holdings revealed plans in its latest report to handle RLUSD on its platform, SBI VC Trade, within this fiscal year. SBI sees RLUSD’s integration as part of a bigger stablecoin push. This also includes integration with JPY-backed tokens, aiming to connect its banking and securities businesses with digital assets in the future.

The firm also highlighted the importance of RLUSD’s role as collateral and in broader treasury operations at Hidden Road, a principal prime broker acquired by Ripple. In addition to expanding USD stablecoins like RLUSD, the group noted that circulating dollar stablecoins in Japan could also help support US Treasury markets and the dollar’s reserve status.

SBI Holdings also demonstrated its advancements using Ripple’s payment technology. The group has already linked more than 100 financial institutions in more than 55 countries through its joint venture, SBI Ripple Asia. In 2021, the service introduced Japan’s first international money transfer powered by XRP.

According to the report, Ripple’s payment solution has continued to gain traction. Over the past year, the XRP price has more than quadrupled, underlining strong market demand. Beyond RLUSD, SBI earlier partnered with Circle to expand the use of USDC, which recently became the first dollar-backed stablecoin approved under Japan’s new regulations. 

ETF Proposals Target Crypto Asset Institutional Investors

SBI Holdings’ report also outlined plans to introduce crypto asset-linked investment trusts and ETF products, pending regulatory approval. Among the proposals are publicly offered crypto asset ETFs in Japan and listings on the Tokyo Stock Exchange covering assets like Bitcoin and XRP.

One product, the “SBI Fund of Crypto-Asset ETFs,” would allocate over half its holdings to gold ETFs, with the rest in crypto ETFs like Bitcoin. Another proposal envisions an ETF directly listing Bitcoin and XRP on the Tokyo exchange, broadening retail and institutional investor access.

Coinciding with Ripple’s impending release of 1 billion XRP from escrow, the company recently transferred 320 million XRP, valued at approximately $703 million, from its SBI VC Trade unit. According to some analysts, this might have to do with custodial restructuring before the release of new fund products or exchange-traded funds.

As these projects roll out, analysts expect SBI Holdings’ close ties with Ripple to remain central to its blockchain roadmap.