Ripple Partner SBI Seals $289M Bitbank Takeover in Landmark Crypto Deal

Ripple’s long-term partner SBI Holdings has completed its acquisition of Japanese cryptocurrency exchange Bitbank in a deal worth 46.7 billion yen (around $289 million). The deal is expected to boost SBI's position as a leader in the regulated digital asset market.

The acquisition will be structured in multiple stages. SBI will first buy shares of Bitbank founder Noriyuki Hirosue and individual investors, and then increase its holdings by buying more from MIXI and Ceres later this year. Following the process, Bitbank will be a combined subsidiary of SBI Holdings.

SBI Expands Its Digital Asset Leadership

The buy significantly boosts SBI's footprint in the regulated cryptocurrency market in Japan. Together, the two companies would handle approximately 2.92 million customer accounts and over 1.1 trillion yen ($7 billion) in digital assets under custody, beating some key domestic rivals.

The agreement is part of a broader pattern of traditional financial institutions gaining more exposure to digital assets as regulatory clarity improves. It also shows the increasing trust in financial services and financial asset tokenization.

Ripple Partnership Could Benefit from Larger Platform

SBI Ripple Asia, which was founded in 2016, was created to help grow Ripple's blockchain payment capabilities in the Asia-Pacific region and Japan, the companies said.

SBI has long been promoting the use of XRP, with its regulated exchange SBI VC Trade being one of the earliest platforms to support XRP trading and later add Ripple-linked stablecoin RLUSD. 

SBI Chairman and CEO Yoshitaka Kitao has also been a strong supporter of the partnership and is a former board member of Ripple and a long-time proponent of blockchain-based payments.

While SBI has not announced immediate operational changes for Bitbank, the increased adoption could lead to more opportunities for introducing XRP, RLUSD, and Ripple's payment network in Japan in the future.

Also Read: XRP Price Outlook: Ripple Faces a Pivotal Test at Major Resistance

The announcement comes after another groundbreaking blockchain project led by SBI-backed gaming company gumi, which revealed an XRP-focused plan just recently totaling $86 million, featuring the $18.3 million crypto investment fund and additional institutional blockchain infrastructure investments.

With the Bitbank acquisition, Japan's digital asset market is further solidifying its reputation as one of the most regulated and blockchain-friendly markets globally, with its institutional backing on the rise. 

FAQs:

1. Why did SBI acquire Bitbank?

SBI acquired Bitbank to strengthen its position in Japan's regulated cryptocurrency market. The deal expands its customer base, increases assets under custody and enhances its digital asset ecosystem.

2. How large will SBI's crypto business become after the acquisition?

Following the acquisition, SBI is expected to manage around 2.92 million customer accounts and more than 1.1 trillion yen (over $7 billion) in digital assets under custody, making it one of Japan's largest crypto operators.

3. How is Ripple connected to SBI Holdings?

SBI and Ripple have worked together since launching SBI Ripple Asia in 2016 to promote blockchain-based cross-border payments. SBI has consistently supported XRP adoption through its regulated exchange, SBI VC Trade.

4. Will Bitbank users see immediate changes?

SBI has not announced any immediate operational or platform changes for Bitbank. The exchange will continue operating while becoming a consolidated subsidiary of SBI Holdings.

5. What does this acquisition mean for XRP and Japan's crypto market?

The larger SBI ecosystem could create additional opportunities for XRP, RLUSD and Ripple's payment infrastructure to gain wider institutional adoption. It also reinforces Japan's reputation as one of the world's most regulated and crypto-friendly markets.