SBI Ripple Asia Completes Registration for “Electronic Payment Substitute Business”

SBI Ripple Asia, a subsidiary of SBI Holdings Inc., which has developed payment businesses that utilize blockchain/DLT (distributed ledger technology) in Asia, announced on the 26th that it has completed registration as an electronic payment substitute agent.

Under the new “Law to revise part of the banking law” that was passed on June 1 earlier this year, registration with the Ministry of Finance is required in order to start a new substitutional business, such as electronic settlements.

SBI Ripple Asia is the secretariat for the “Internal and external exchange consortium” in Money Tap, a remittance application for smartphones based on RC Cloud 2.0 and on xCurrent, which is produced by Ripple. Money Tap aims to build an environment that makes money transfers between individuals safe, quick, and easy.

SBI Ripple Asia will not only act as a substitute operator for electronic money settlements for Money Tap, but will also strive to provide information to users, sign contracts with banks participating in the internal and external exchange consortium, as well as publish material it is obligated to publish, and reduce social costs by making settlements cashless.

Legislation amending part of the banking law was enforced in June this year. Although “electronic payment substitute business” may seem unfamiliar, this is a type of business that receives requests from customers through open API. The business then delivers settlement instructions to banks and provides services such as settlement and remittance based on the customers’ funds in the accounts.