Japan's SBI Shinsei Bank Plans to Pay Part of Deposit Interest in Crypto
Summary
- SBI Shinsei Bank plans to launch a program this fall that will offer deposit customers vouchers worth 20%% of their interest income that can be exchanged for cryptocurrencies.
- The vouchers can be exchanged for Bitcoin (BTC), Ether (ETH) and XRP, and the program will be piloted for three months starting June 10 for ordinary deposits and fixed-term deposits.
- SBI Group is using the program to channel bank customers into its cryptocurrency business while expanding its cryptocurrency and blockchain businesses, on-chain stock trading, and the yen stablecoin JPYSC.
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SBI Shinsei Bank, part of Japan's SBI Group, plans to introduce a cryptocurrency rewards program for deposit customers.
The bank aims to launch the program this fall, offering depositors vouchers worth 20% of their interest income that can be exchanged for digital assets, Nikkei reported on June 9, citing The Block.
The vouchers can be redeemed for cryptocurrencies including Bitcoin, Ether and XRP. Customers must open an account with SBI VC Trade, SBI Group's cryptocurrency exchange, to use them.
Before the full launch, SBI Shinsei Bank plans a three-month pilot starting June 10. The program will cover ordinary deposits and fixed-term deposits with maturities of three months to five years.
CoinPost reported that a customer depositing 300,000 yen, or about $1,870, would receive a voucher worth about 500 yen. Customers depositing at least 30 million yen, or about $187,000, could receive vouchers worth as much as 20,000 yen.
The program is part of SBI Group's strategy to steer banking customers toward its cryptocurrency business.
SBI Group has been accelerating its expansion in cryptocurrency and blockchain. Last month, SBI Holdings Chairman Yoshitaka Kitao said the company was in preliminary talks to acquire a stake in Bitbank, one of Japan's major cryptocurrency exchanges.
SBI Securities and Rakuten Securities are also developing cryptocurrency investment trust products for retail investors. Earlier this year, SBI Holdings began developing a blockchain for on-chain stock trading with Startale Group. It has also unveiled JPYSC, a yen stablecoin based on a trust bank structure.
