The XRP Ledger Is Placed At The Heart Of Japan’s Next Financial Revolution
With a strong regulatory environment, active institutional participation, and a growing desire for blockchain-powered financial solutions, Japan is positioning itself at the forefront of next-generation finance, and XRPL is increasingly at the center of that vision.
Japan is betting heavily on XRP Ledger and the leading protocol. Crypto analyst Stellar Rippler it was revealed in X where the Bank of Japan (BoJ) chief executive, Kazuo Ueda, was reported to have said that SBI Holdings has invested in XRP, XRP Ledger-native identity protocols, compliance, and lending projects. At the time, that background was even more remarkable when the CEO of SBI Holdings Yoshikaka Kitao said The company has hidden assets that are worth more than the officially disclosed value of 9%, worth more than 10 billion dollars.
Why Japan is Looking Beyond Payments to the XRPL Infrastructure
Interestingly, strategic direction becomes clearer when viewed through the lens of ownership. Ripple’s president, Monica Long, described XRPL’s decentralized identity as a way to turn personal information into a secure, portable digital asset. a symbol users can carry them around the world by choosing to share, instead of relying on social media.
Related Reading: XRP Ledger DEX Metrics Flash Strong Growth As Activity Touches Key New Levels
This idea is already taking shape in infrastructure level. DNAOnChain’s XDNA uses this proof-of-knowledge model to transform identity and compliance data into verifiable zk credentials. Also, this allows institutions to ensure eligibility and regulatory status without disclosing sensitive information. However, the hidden property of SBI has gone beyond XRP, and towards the identity of XRPL and the layer that does not have information, where XDNA comes in as needed by the infrastructure institutions.
XRP is actively used as a bridge currency to fund the XRP Ledger, alongside stablecoins, which are compatible. A commentator known as Vet on X has noted that recent activity on the XRPL DEX shows that RLUSD is trading against EUROP, the stablecoin of the euro, with XRP acting as a bridge asset. By acting as a middle layer, XRP increases the the economy of goods released across the network.
In addition, the project results in a proven, robust financial infrastructure that increases financial efficiency for everyday users and institutions. At the same time, the market makers can make trades between relevant XRP pairs; they can hold the token because no other party does, making it a very efficient way to market.
XRP’s Role In The Future Of FX Signaling
According to to RippleBullWinkle, the founder of Lux Lions NFT, the foreign exchange market moves about $9.6 trillion in daily volume.
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Currently, industry insiders are projecting an on-chain FX system for local coins from countries around the world, where they can be settled directly on-chain against dollar stablecoins. This is where the original design of XRP becomes relevant, because XRP it is literally built to act as a bridge asset between currencies.
Featured image from Adobe Stock, chart from Tradingview.com
