Brad Garlinghouse, the CEO of Ripple, believes that stablecoins have the potential to be global successes, with a particular emphasis on Japan. The executive verified to Bloomberg on Friday that the company is in the process of launching a stablecoin in Japan shortly.
In an interview with the publication, Garlinghouse stated that the Ripple-USD stablecoin (RUSD) will be implemented upon approval by US regulators.
“Ripple’s operations are conducted with regulatory approval and licensing,” he stated. “Our objective has been to proceed at the earliest possible pace.” However, we remain optimistic.
Although he previously stated that the stablecoin would be introduced in the United States within “weeks,” he believes there is a global opportunity for the stablecoin.
“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.”
Additionally, Garlinghouse stated that the Japanese market is exceedingly robust despite its tendency to be conservative in certain respects. Furthermore, Japan’s Financial Services Agency (FSA) has provided a framework and clarification regarding regulating various crypto assets.
“Many countries are demonstrating leadership, and Japan has been a prime example in numerous respects. This does not suggest they have been conservative, but the regulations have been particularly restrictive.”
Nevertheless, he stated that Ripple is currently concentrating on the launch of the RUSD, and creating a yen-backed coin is a “matter of time.”
He stated that the company strongly partnered with the New York Department of Financial Service (NYDFS) in the United States. Ripple also acquired Standard Custody, licensed by the New York Department of Financial Services (NYDFS).
Before implementing the proposed stablecoin, Ripple would collaborate with the regulator and its partners.
The Distinction Between XRP Native Token and RUSD Stablecoin
Ripple has employed XRP, its native digital asset, as a “bridge asset” to facilitate the transmission of funds across borders. The company’s $170 billion market capitalization, however, indicates that it anticipates significant growth in the stablecoin market, particularly for USD-pegged coins.
The market is expected to reach $2-$3 trillion within five years.
Garlinghouse stated, “We believed there was an opportunity to enter the stablecoin market as it continues to expand.”
“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.”
