In 2018, the Japanese financial services group SBI Holdings announced the launch of a payment application called MoneyTap on Ripple’s blockchain technology. MoneyTap was designed to allow domestic bank customers to make instant transactions using a QR code, phone number, or bank account. In 2020, CNF also reported SBI’s plan to use MoneyTap in Japanese ATMs.
At that time, Japan’s national payment clearing platform, Zengin, only allowed domestic money transfers between 8:30 AM and 3:30 PM. Six years after its launch, MoneyTap has become a highly effective payment platform with millions of users and a large number of transactions.
Renowned analyst WrathofKahneman noted that several banks, including Shinonome Shinkin Bank and Nagoya Bank, have partnered with SBI to use MoneyTap for international remittance services. SBI’s cumulative international remittances have significantly increased to $13 billion for the year.
In 2019, MoneyTap became a wholly-owned subsidiary of SBI Holdings after initially being launched by SBI Ripple Asia, a joint venture with Ripple. In 2021, Ripple acquired 33% of the subsidiary.
WrathofKahneman highlighted that over 200 Shinkin banks collaborating for international remittances are larger than US credit unions and play important roles in the Japanese banking industry. These banks have a diverse geographical reach.
MoneyTap has partnerships with several financial institutions in Japan, including Sumitomo SBI Net Bank, Daiwa Securities Group Headquarters, Sumitomo Mitsui Banking Corporation, Sumitomo Mitsui Trust Bank, Ashikaga Bank, Ogaki Kyoritsu Bank, and Seven Bank. Ripple has invested in MoneyTap and has formed partnerships with up to 80% of the Japanese banking industry, as confirmed by statistician Dr. Hossein Hassani and research experts Xu Huang and Emmanuel Silva.
The adoption of crypto and blockchain technology is also growing in major financial institutions outside Japan, with reports indicating that BNP Paribas, UBS, and HSBC are exploring and implementing blockchain solutions to improve operations.
