In a significant expansion, SBI Remit, a subsidiary of Japan’s financial holding company SBI Group, has announced its collaboration with Ripple and SBI Ripple Asia to extend its XRP-based remittance services to bank accounts in Vietnam, Indonesia, and the Philippines.
A strategic move to streamline international remittances
According to a press release, SBI Remit has been utilizing Ripple’s payment services for international remittances since 2017. The company took a pioneering step in 2021 by becoming the first in Japan to offer remittance services using XRP as a bridge currency to crypto wallets in the Philippines. The new expansion aims to streamline the international remittance process further by using XRP as a bridge currency for fast and cost-effective transactions.
SBI Remit’s newly unveiled scheme is designed to send a customer’s remittance request in real-time, with SBI VC Trade sending XRP in response to the request. This dynamic approach is made possible through a strategic alliance with Tranglo Pte. Ltd., a long-term Ripple partner. The company emphasized that using XRP as a bridge currency allows for quick and low-cost money transfers, and it has excellent scalability, enabling users to easily send money to Ripple’s partners worldwide.
Targeting high-volume remittance corridors in Southeast Asia
Expanding the service to Vietnam, Indonesia, and the Philippines is a strategic decision. These countries have a substantial percentage of remittances sent to bank accounts, making them ideal candidates for XRP adoption. SBI Remit expects that the introduction of this XRP-based remittance service will hasten the adoption of cryptocurrencies in these nations.
SBI Holdings chairman and CEO Yoshitaka Kitao highlighted the company’s commitment to revolutionizing international remittance services. While the current service focuses on three Asian countries, SBI Remit is committed to expanding its reach. The company stated, “Going forward, through partnerships with Ripple and other fintech companies, SBI Remit will strive to increase the number of countries where remittance is possible and expand services with a view to corporate transactions and inbound transactions.”
