Japan's Financial Services Agency (FSA) has approved Ripple's U.S. dollar-pegged stablecoin RLUSD as an electronic payment instrument under the Payment Services Act. This designation allows RLUSD to be offered to both institutional and retail customers in Japan through SBI VC Trade's VCTRADE platform. The approval builds on a long-standing partnership between Ripple and SBI, dating back to 2016, and follows a memorandum of understanding signed in August 2025. RLUSD, launched in late 2024, has a market capitalization of approximately $1.7 billion, significantly smaller than dominant stablecoins USDT ($186 billion) and USDC ($74 billion). Despite gaining regulatory credentials, RLUSD must still build trading volume and liquidity to compete. Ripple positions RLUSD as an enterprise token for payments, tokenization, and collateral management, distinct from XRP. Japan's strict stablecoin regime makes this approval a key regulatory milestone, especially as stablecoin rules develop globally.

Key facts

• Japan's FSA approved RLUSD as an electronic payment instrument under the Payment Services Act.
• RLUSD will be offered via SBI VC Trade's VCTRADE platform to institutions and retail customers.
• RLUSD market cap is about $1.7B, far below USDT ($186B) and USDC ($74B).
• The approval follows a 2025 MoU between Ripple and SBI, building on a partnership since 2016.
• Ripple positions RLUSD for payments, tokenization and collateral, separate from XRP.

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