Key Takeaways
- Ripple CEO Brad Garlinghouse hinted at the possibility of a yen-based stablecoin.
- When asked about the timeline, Garlinghouse said they are focused on the US first.
- Earlier, Ripple CEO said the USD-pegged stablecoin is just weeks from launch.
As Ripple’s highly anticipated US dollar-pegged stablecoin, RLUSD, generates growing excitement, the company’s CEO, Brad Garlinghouse, has floated the possibility of creating a Japanese Yen-based stablecoin.
In a recent interview with Bloomberg, Garlinghouse admired Japan’s clear regulatory framework, suggesting that the country’s favorable environment makes it an attractive market to launch a Yen-denominated stablecoin.
Yen Stablecoin on the Cards, but US First
Ripple’s CEO stressed that Japan is one of the earliest nations to offer some form of crypto regulatory clarity. He added that Japan is technologically prevalent but also has a conservative approach, which is good as long as “there is a clear rule of law.”
“I have met with regulators, FSA and elected representatives. I have heard this desire to lean into these nascent technologies consistently. I think the environment from a macro perspective is very pro-innovation,” Garlinghouse said.
He added that Japanese lawmakers and regulators are pro-technology and want these nascent technologies to be embraced and adopted.
The Ripple chief also drew a contrast with US regulators, noting that they have eschewed the difficult work of crafting clear regulations, instead opting for a more piecemeal approach that relies on enforcement actions.
While there is significant demand for a yen-denominated stablecoin, Garlinghouse emphasized that Ripple’s primary focus is on launching RLUSD in the US first.
Turning to Ripple’s prospects in Japan, Garlinghouse pointed to the company’s partnership with SBI, a major Japanese banking group, which has been instrumental in promoting innovative technologies like crypto in the country.
Ripple’s USD-pegged Stablecoin Ready for Launch
Garlinghouse’s comments on Japanese yen-based stablecoins come as Ripple prepares to launch RLUSD.
During the recent Korean Blockchain Week, Garlinghouse revealed that RLUSD is in the final beta testing stage and is “weeks away from launch” rather than months.
However, in the interview with Bloomberg, the Ripple chief tempered expectations, stating that the launch date is contingent on regulatory approval.
“Our expectation has been to move as quickly as we can. Some people thought the launch could be by the end of the year. We don’t know for sure until the regulator gives us a green light.”
In preparation for the launch, Ripple has acquired Standard Custody, a custody firm with a trust license from the New York Department of Financial Services (DFS). Garlinghouse shared that they have had a solid working relationship with DFS and hope to continue working with them before going live with their stablecoin.
Meanwhile, comments from Ripple’s CTO, David Schwartz, have generated a stir in the XRP community. Schwartz revealed that the new stablecoin would be exclusively available to institutional players, sparking concerns about limited access for retail investors.
However, he clarified that this approach is consistent with industry norms, where stablecoin issuers typically work with institutional partners, and retail users access stablecoins through crypto exchanges.
Prashant Jha is a seasoned crypto journalist based in Delhi, India, with a Bachelor’s Degree in Computer Science Engineering. Passionate about the evolving world of blockchain and cryptocurrencies, he has been a dedicated voice in the industry since 2018. Prashant’s expertise lies in regulatory reporting, where he unravels complex legal and financial developments with clarity and precision. Before joining CCN in 2024, he honed his craft at Cointelegraph, establishing himself as a trusted name in crypto journalism.
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