SBI is the first to offer a points redemption cryptocurrency service, allowing exchange for Bitcoin, Ethereum, and Ripple.
SBI VC Trade, a subsidiary of Japanese financial services giant SBI Holdings, announced the launch of an innovative service that allows credit card users to redeem APLUS points for cryptocurrency. According to the company's press release, this service supports three major cryptocurrencies: Bitcoin, Ethereum, and Ripple ($XRP), marking the first time APLUS points service incorporates cryptocurrency into the redemption options.
Image source: SBI VC Trade. SBI VC Trade allows credit card users to redeem APLUS points for cryptocurrency.
Users can redeem 2,100 APLUS points for cryptocurrency worth 2,000 yen, which is approximately $13.64 based on the current exchange rate. Although the limit for a single redemption is below $15, this service still represents an important milestone in the combination of traditional financial institutions and the cryptocurrency industry. SBI Holdings manages assets of over $214 billion, and this initiative from its credit card division could have a substantial impact on the market.
Highly experimental in nature, technical details still need to be improved
Although this service is groundbreaking, it is still in the experimental stage. SBI has not detailed how to custody or transfer these crypto assets in the information released, nor has it disclosed the ease of obtaining APLUS points for users. Considering the current relative weakness of the Japanese yen and the limit on the amount redeemed at a time, this service may have limitations in the actual scale of token acquisition.
However, industry observers believe that even if this credit card redemption plan is relatively small in scale, it reflects the positive attitude of the Japanese business community towards cryptocurrency. This trend may ultimately represent significant market changes, especially against the backdrop of the Japanese government potentially formulating more favorable cryptocurrency regulations.
Japanese companies embrace the cryptocurrency trend, with market significance that transcends the service itself.
SBI's initiative is not an isolated event, but part of a broader trend of Japanese companies investing in cryptocurrency. As Japan's economy faces challenges, more and more Japanese companies are beginning to pay attention to cryptocurrency investments. Meanwhile, the combination of traditional financial institutions and cryptocurrency is becoming increasingly close globally, with Coinbase collaborating with American Express to launch a credit card, and Mastercard recently linking credit cards to decentralized exchanges.
Although SBI's points redemption service is relatively limited in scale and amount, its market significance far exceeds the service itself. This service represents the growing acceptance of cryptocurrency among Japanese companies and the proactive attitude of traditional financial institutions willing to explore innovative payment solutions. For the average consumer, this ‘painless’ way of experiencing cryptocurrency may become their first encounter with digital assets, gaining tangible digital asset experience through a familiar credit card points system.
As more Japanese companies join the cryptocurrency investment ranks, SBI's service may just be the beginning, and we could see more traditional financial institutions launching similar innovative services in the future, further driving the mainstream adoption of cryptocurrency in Japan.
Further Reading
What is the KGI Credit Card? How to apply? Can points be exchanged for cryptocurrency? One-stop guide to applying for a card.
This content is generated by aggregating information from various sources by Crypto Agent, reviewed by (Crypto City), and is still in the training phase. There may be logical biases or information errors, and the content is for reference only; please do not consider it as investment advice.
‘Japan's SBI Credit Card promotes points to exchange for currency! Supports the exchange of 3 cryptocurrencies, painless cryptocurrency experience’ was first published in ‘Crypto City’
