Cross-border payment facilitation platform Ripple and global financial services company SBI Holdings are partnering to bring Ripple’s technology to Asia via SBI Ripple Asia.
The new company will create a dedicated engineering and sales presence in Japan, China, Korea, Taiwan and additional ASEAN countries.
Ripple’s technology allows banks to transact directly with each other and reduce costs while increasing real-time certainty settlement. That, combined with Ripple’s international experience, made them the best option to capitalize on a market worth more than $45 billion annually in Japan, China and South Korea combined, SBI Holdings President and CEO Yoshitaka Kitao said.
“Surveying the market, Ripple was the only company that has delivered battle-tested enterprise solutions and global bank customer traction, including commercial deals with top banks already signed in Asia Pacific. Distributed financial technology is undoubtedly transforming financial infrastructure and we’re excited to drive its adoption throughout Asia.”
SBI Holdings’ history of joint ventures with international financial services brands includes efforts with E-LOAN, E*TRADE, and Morningstar. They also have stakes in 10 financial institutions across the ASEAN region. Ripple Co-Founder and CEO Chris Larsen said that existing distribution network will help facilitate adoption of Ripple’s solutions.
“SBI’s deep expertise and relationships across banking, capital markets, insurance and payments will help aggressively scale Ripple in some of the fastest-growing financial markets in the world. Interbank payments establish the foundation of the Internet of Value.”
“SBI is the perfect partner to help forge that foundation and then extend Ripple’s capabilities to new use cases in the future.”
The Internet of Value is one in which money flows as uninhibited as data. Products facilitating that ease of transfer are considered to be creating it by eliminating roadblocks such as the fees charged by middlemen at each stage. No unnecessary stages between two parties mean lower fees and increased popularity.