- Ripple partners SBI Group and Kyobo Life Insurance completed a Japan-South Korea stablecoin transfer pilot.
- The test enabled direct yen-to-won transfers without using the U.S. dollar as an intermediary.
Japan’s SBI Group and South Korea’s Kyobo Life Insurance have completed a cross-border stablecoin proof-of-concept using yen- and won-linked stablecoins. The test showed that institutional funds can move directly between Japan and South Korea without first converting through the U.S. dollar.
Ripple Partners Test Direct Japan-Korea Stablecoin Transfers
SBI Group and Kyobo Life Insurance began the proof-of-concept in July using the Canton Network as the test environment. The companies used test tokens to verify direct exchanges between a yen stablecoin and a Korean won stablecoin.
The model removes an additional conversion step that can occur when yen is first exchanged for U.S. dollars before being converted into won. According to the companies, direct stablecoin transfers could reduce transaction time and costs while also lowering foreign exchange risks for cross-border institutional payments.
The pilot also tested how digital assets transferred from overseas could be handled alongside the related settlement funds within the domestic financial system.
Although SBI and Kyobo conducted the pilot, the development is relevant to Ripple because both companies have established relationships with the blockchain payments firm. SBI Group has worked with Ripple since 2016, while Ripple and Kyobo have also partnered on digital asset initiatives in South Korea.
Ripple’s Expanding Role in Asian Digital Assets
Ripple has continued developing its presence across Asian markets through partnerships involving stablecoins, custody and tokenized assets.
Ripple and SBI Group recently partnered on the launch of RLUSD in Japan, giving Ripple another connection to the country’s growing stablecoin market. SBI Group has also remained closely involved with Ripple and the XRP Ledger ecosystem.
Ripple has separately partnered with Kyobo to explore tokenized Korean government bond settlement through Ripple Custody and assess stablecoin payment infrastructure.
The latest SBI-Kyobo pilot adds another example of how Ripple’s partners are testing blockchain-based financial infrastructure for cross-border transactions. The companies now plan to explore further cooperation in areas including Japan-South Korea digital asset exchanges, asset management and new Web3-based business models.
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