Japan's financial giant SBI Group has solidified its position as the top investor in blockchain technology by launching a dedicated subsidiary for blockchain-based financial services. This strategic move highlights SBI’s commitment to innovation and its dominance in the crypto and blockchain space.
Money Tap: Blockchain-Powered Personal Remittances
On March 20, SBI announced the formation of a new subsidiary to manage Money Tap, a blockchain-driven personal remittance application. Initially operated by SBI Ripple Asia—a joint venture between SBI and Ripple—the service will now function as an independent entity to facilitate early-stage investments.
Key Features of Money Tap:
- Enables seamless peer-to-peer transfers via Sumishin SBI Net Bank and other participating institutions.
- Built on Ripple’s blockchain technology for fast, low-cost transactions.
- SBI plans to transition from a wholly-owned subsidiary to a multi-bank consortium by the end of the month.
"By spinning off Money Tap into a separate legal entity, SBI can secure funding more efficiently and accelerate adoption," said a company representative.
SBI’s Dominance in Blockchain Investments
According to a NKB Group report based on CB Insights data, SBI Group ranks as the largest investor in blockchain technology. Their portfolio spans exchanges, fintech startups, and enterprise blockchain solutions.
Major Investments and Partnerships:
2018: A Landmark Year for Expansion
April 2018:
- SBI’s Russian subsidiary, SBI Bank LLC, joined the R3 blockchain consortium to advance Corda DLT adoption.
- Templum, a New York crypto trading platform, secured $10 million in funding from SBI’s venture arm.
May 2018:
- Invested in Taiwanese blockchain firm OwlTing, targeting an IPO.
- Launched VCTRADE, Japan’s first bank-operated cryptocurrency exchange, catering to retail investors.
August 2018:
- Formed a joint venture with Ping An Group (60% SBI, 40% Ping An) to deploy OneConnect’s fintech solutions in Japan.
Earlier Strategic Moves
2016:
- Backed Kraken (global Bitcoin exchange) and bitFlyer (Japan’s largest crypto platform) in a $27M funding round.
- Led Ripple’s $55M Series B, strengthening ties through SBI Ripple Asia.
- Partnered with eToro to support its international crypto exchange launch.
👉 Discover how SBI is shaping the future of blockchain finance
Why SBI Stands Out in Blockchain Adoption
First-Mover Advantage:
- The only traditional bank to directly operate a crypto exchange (VCTRADE).
Strategic Alliances:
- Deep collaboration with Ripple for cross-border payments.
- Joint ventures with Ping An and other fintech leaders.
Diverse Portfolio:
- Investments span exchanges (Kraken, bitFlyer), blockchain protocols (Ripple), and enterprise solutions (R3).
FAQs: SBI’s Blockchain Initiatives
1. What is Money Tap?
Money Tap is a blockchain-based remittance app developed by SBI Ripple Asia, enabling instant, low-cost transfers between Japanese banks.
2. Why did SBI spin off Money Tap?
Independence allows easier funding access and faster scaling through partnerships with multiple banks.
3. How does SBI compare to other blockchain investors?
SBI leads with direct operational involvement (e.g., VCTRADE) and high-profile partnerships (Ripple, Ping An).
4. Will SBI expand its crypto services globally?
Its joint ventures (e.g., with Ping An) suggest plans to bridge Asian and Western markets, but no official global rollout has been announced.
👉 Explore blockchain investment opportunities with SBI’s partners
Conclusion
SBI Group’s latest subsidiary underscores its pioneering role in blockchain finance. From Money Tap’s remittance solutions to VCTRADE’s exchange platform, SBI continues to merge traditional banking with cutting-edge crypto innovation. With unmatched investments in Ripple, Kraken, and bitFlyer, SBI is not just a backer—it’s a key architect of the blockchain economy.
For more insights on blockchain adoption in finance, stay tuned to industry updates.
Source: The Block (adapted from original reporting)