XRP is set to expand its stablecoin footprint in Asia, as Ripple partners with SBI Holdings to distribute its RLUSD token across Japan starting in early 2026. This marks a strategic move to increase Ripple’s enterprise use cases and adoption in the fast-growing stablecoin ecosystem.

Ripple and SBI Unite to Launch RLUSD in Japan

Ripple Labs, known for its role in cross-border digital payments, has signed a memorandum of understanding with financial powerhouse SBI Holdings. Their agreement seeks to roll out RLUSD, Ripple’s stablecoin, in the Japanese market. This distribution will be handled by SBI VC Trade, an SBI subsidiary licensed to operate various financial instruments, including as Japan’s first Electronic Payment Instruments Exchange Service Provider.

The rollout of RLUSD is expected to begin in the first quarter of 2026, enabling a broader range of stablecoin options in Japan’s evolving digital currency sector. According to Tomohiko Kondo, CEO of SBI VC Trade, this development represents not only an expansion of stablecoin choices but also marks a leap forward in their reliability and usability within Japan’s financial ecosystem.

Digital tokens like RLUSD promise a stable and compliant alternative for enterprise finance in Japan.

RLUSD’s Current Market Position

Ripple’s RLUSD was first launched in December and remains relatively small in comparison with dominant stablecoins like Tether and Circle. Despite this, RLUSD’s adoption is gradually growing. As of now, it has a circulating supply of $666 million, representing a modest 0.24% share of the $280 billion stablecoin market. Ripple’s ambition is to transition RLUSD into a trusted, regulated token tailored for enterprise-level applications.

The announcement didn’t clearly specify whether RLUSD would be accessible solely to institutional players or if retail consumers would also be able to use it. Clarity on this front could greatly affect adoption rates among the broader Japanese public.

Ripple and SBI: A Longstanding Alliance

The Ripple–SBI partnership dates back to 2016, culminating in the creation of SBI Ripple Asia. This joint venture, where SBI owns 60% and Ripple holds the remaining 40%, was created to spearhead Ripple-powered solutions across Asian markets. The new RLUSD initiative deepens this alliance, targeting one of Asia’s most financially progressive countries.

The stablecoin initiative is part of Ripple’s broader plan to strengthen its foothold across Asia. The company has been actively building partnerships and expanding the utility of RLUSD beyond U.S. borders.

Growing Competition in the Stablecoin Arena

Ripple isn’t the only player stepping up its stablecoin game. In a related move, Ripple recently offered crypto exchange Gemini a $75 million secured credit line, expandable to $150 million. Disbursements beyond the initial amount may take place in RLUSD. If Gemini moves forward with its plan to go public, it may ultimately settle its IPO using Ripple’s stablecoin.

Meanwhile, notable competitors are entering the space. Ethereum wallet MetaMask has launched its own stablecoin called mUSD, backed by Stripe. The growing list of stablecoin options continues to complicate the competitive landscape for RLUSD.

XRP Market Reaction Disappoints

Despite the positive momentum with RLUSD, the value of XRP, Ripple’s native token, hasn’t mirrored the optimism. XRP declined 3.6% over the past 24 hours, hitting a three-week low of $2.83 during Friday’s Asian trading session. This downward trend continues even amid favorable news, such as speculation about the possible approval of a spot XRP ETF.

Overall, XRP has plummeted by 22% since its July 18 all-time high, outpacing the broader crypto market’s 8.5% decline since its peak earlier in August. The contrast between strategic progress and market performance highlights ongoing investor caution.

Related: XRP Price: $12M Max Pain for Bears

As Ripple continues to forge meaningful alliances and extend RLUSD’s reach into new markets like Japan, the stabilization of XRP’s price remains to be seen. However, this latest SBI collaboration places Ripple in a strong position to challenge stablecoin leaders on the global stage.