SBI Holdings Boosts XRP Bet with Security Token Bond and Venture Studio Partnership

Japanese conglomerate SBI Holdings has taken steps to deepen its integration with the XRP ecosystem through a series of strategic initiatives. The firm's latest move involves issuing a new security token bond that rewards investors with XRP, while also partnering with the Asia Web3 Alliance Japan to support XRPL-focused startups.

The 10 billion yen ($64.5 million) blockchain-based security token bond offering, branded as SBI START Bonds, promises conventional fixed-income investors an indicative annual interest rate between 1.85% and 2.45%. However, the XRP rewards serve a deeper purpose than simple yield enhancement, as they aim to funnel conservative retail money into SBI's digital asset platform.

The bond offering has sparked debate about the role of subsidies in driving adoption of XRP in the Japanese market. While some view it as an innovative approach to cryptocurrency onboarding, others see it as a means to artificially boost demand for the digital asset.