Breaking: SBI Shakes Up Japanese Finance with First-Ever XRP ETF Proposal
Japan's financial landscape braces for disruption as SBI Holdings drops a crypto bombshell—a groundbreaking XRP ETF filing.
The institutional floodgates open
If approved, this would mark Japan's first crypto ETF not tied to Bitcoin or Ethereum—a calculated bet on Ripple's embattled but liquid asset. Traders are already speculating whether this signals broader regulatory thaw.
Why this matters
Unlike US regulators still dragging their feet, Japan's FSA appears willing to let institutional money flow into altcoins. SBI's move could pressure competitors like Nomura to fast-track their own crypto products.
The cynical take
Because nothing revitalizes a stagnant financial sector like repackaging speculative assets into shiny new wrappers—just in time for the next bull run.
Japanese financial giant SBI Holdings is making big strides in crypto, launching initiatives that may shape the future of digital assets in the country.
Here’s an easy breakdown of what SBI is doing and why it matters.
SBI Proposes Two XRP-Linked ETFs
As part of its Q2 2025 financial strategy, SBI has proposed two exchange-traded fund (ETF) models: one combines gold, over 51 percent, with crypto, and the other focuses entirely on cryptocurrencies like Bitcoin and XRP. If approved, they would be the first regulated ETFs in Japan to include XRP, boosting institutional adoption of Ripple’s tech.
Gold-Crypto ETF Offers Balanced Exposure
The Digital Gold crypto ETF combines the stability of gold with the upside potential of XRP and Bitcoin. This offers a balanced option for both crypto enthusiasts and conservative investors, and also expands SBI’s reach across investor profiles.
SBI in Japan
is seeking regulatory approval for two (2) new financial products.
1. Digital Gold Crypto ETF (Gold/Bitcoin)
2. Crypto-Asset ETF (Bitcoin/#XRP)https://t.co/AVaBwvkips pic.twitter.com/AqN3gbr5PX
SBI’s move signals strong confidence in the XRP’s long-term utility, especially in cross-border payments. As a key Ripple partner, SBI continues to champion XRP across Asia.
SBI Expands Stablecoin Push with RLUSD and USDC Plans
SBI is also expanding into stablecoins in a major way.
It plans to handle Ripple’s upcoming USD-backed stablecoin RLUSD within this fiscal year. Alongside that, SBI has partnered with Circle to support the adoption of USDC in Japan.
The company wants to distribute USD-backed stablecoins for domestic use and sees them as beneficial for both Japan and the United States. To make this happen, SBI is in discussions with regulators about easing key restrictions, such as the current ¥1 million transfer limit, which it believes is holding back broader business adoption.
Is a Yen-Backed Stablecoin Coming Soon?
SBI is also exploring a yen-backed stablecoin. It plans to work with licensed banks and trust companies for its issuance. The company believes that stronger adoption of a JPY-backed stablecoin could increase demand for Japanese government bonds, help stabilize the yen, and enhance its global position.
Crypto Tax Reform in Japan
Over 100 financial institutions in 55 countries now use Ripple Payments for cross-border transfers.
SBI is urging Japan to treat crypto as an investment asset, not just a payment tool, and apply separate, lower tax rates instead of the current 55.95% progressive tax.
With rising political support, especially post-election, tax reform is gaining traction. SBI also calls for lifting transfer limits on overseas stablecoins to boost business use.
Japan’s Crypto Regulations Set to Evolve
Japan’s Financial Services Agency (FSA) is reviewing its crypto regulations, clearing the way for new products like ETFs and broader adoption of stablecoins.
Japan’s FSA has proposed to reclassify crypto as financial products, enabling crypto ETFs and cutting the tax rate on gains from 55% to 20%. The MOVE aims to attract more investors.
