Ripple-based payment system MoneyTap continues growing in Japan, with several local banks opening access to the application for their clients.
SBI Remit, the remittance-focused arm of the Japanese financial services conglomerate SBI Holdings, has added support of its mobile MoneyTap application to three local banks, including Yamaguchi Bank, Momiji Bank and Kitakyushu Bank, SBI Remit announced on April 17.
Yamaguchi is a major regional bank in Japan, featuring 156 branches and offices in Japan and four overseas locations. Kitakyushu Bank is a subsidiary of Yamaguchi Financial Group and has operated 24 branches since the start of the business.
The MoneyTap integration enables the Japanese regional banks to offer a peer-to-peer remittance service to their customers through a mobile application. In addition to the bank account number, the remittance service enables the online remittance function through a mobile phone number. The app also features online identity verification and biometric authentication, aiming to ensure high security for customers of Yamaguchi, Momiji and Kitakyushu.
As previously reported, SBI integrated the mobile MoneyTap settlement service in 2019, soon after launching MoneyTap in collaboration with the blockchain firm Ripple in October 2018. Based on Ripple’s blockchain solution RippleNet, the MoneyTap app is designed to enable instant domestic bank-to-bank transfers and P2P transfers for clients, initially supporting three Japanese banks, including SBI Sumishin Net Bank, Suruga Bank and Resona Bank.
In the announcement, SBI Remit reiterated that the firm merged with MoneyTap in September 2022, which allowed it to provide a next-generation financial infrastructure with high functionality and low cost.
SBI has emerged as a major partner of Ripple, supporting the company amid its ongoing legal battle with financial regulators in the United States. Morningstar, an SBI Group financial data subsidiary, said in 2021 it will continue its XRP (XRP) shareholder benefits program despite Ripple’s legal issues in the United States. SBI CEO Yoshitaka Kitao also said in 2021 that Japan was the most likely country for Ripple to move to if the company is eventually forced to leave the U.S. due to the tough regulatory environment.