Ripple Plans to Offer Stablecoin in Japan: CEO Brad Garlinghouse

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Last updated:

September 6, 2024 05:18 EDT

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Ripple’s CEO Brad Garlinghouse sees opportunity for stablecoins globally, particularly in Japan. The company is in the process of launching a stablecoin in Japan soon, the executive confirmed to Bloomberg on Friday.

In an interview with the publication, Garlinghouse said that the Ripple-USD stablecoin (RUSD) will be rolling out when the US regulators give a nod.

“Everything Ripple does is in conjunction with regulatory approval and licencing,” he said. “Our expectation has been to move as quickly as we can. But, we’re optimistic.”

Though he had previously indicated that the stablecoin would be launched in “weeks” in the US, he thinks there is opportunity for stablecoin globally.

“Certainly, Japan, approved some legislation a year ago that came into effect this year. And so, there’s a process underway now to do stablecoins here in Japan as well.”

Besides, Garlinghouse said that Japan market is really healthy, although it is conservative in some ways. Additionally, Japan’s FSA has issued clarity and a framework for how different cryptos will be regulated.

“A lot of countries are leading and Japan has been in many ways, one, that’s not to say they haven’t been conservative, but the regulation.”

However, he said that Ripple is right now focused on getting the RUSD live and an yen-backed coin is a “matter of time.”

In the US, he said the company had a great partnership with the New York Department of Financial Service (NYDFS). Ripple also acquired Standard Custody that holds an NYDFS trust license.

Ripple would work with the regulator and partners before it goes live with the proposed stablecoin.

XRP Native Token VS RUSD Stablecoin: The Difference

Ripple has used XRP, its native digital asset, as a “bridge asset” to transfer money across borders. But, the company sees tremendous expansion in the stablecoin market (particularly USD-pegged), given its overall market cap of $170 billion. It is foreseen that the market would go upto $2-$3 trillion in about five years.

“We felt that there’s an opportunity to enter the stablecoin market as that market continues to grow,” Garlinghouse said.

“So we always use what’s best for the customer and we decided to go live and build our own stablecoin and excited to get live with that this year.”