An executive at Japanese financial giant SBI Holdings said XRP weak price performance may be because of the market waiting for greater regulatory clarity in the United States.
Speaking during SBI Holdings’ Q1 FY2027 earnings presentation, Director Yasuo Nishikawa, who represented Chairman and CEO Yoshitaka Kitao, said the company’s crypto business has remained sluggish as investors wait to see what happens with the U.S. CLARITY Act.
Nishikawa said XRP has been affected. According to him, the token’s price has stayed subdued as investors monitor the progress of the digital asset legislation.
“XRP price is sluggish, remaining subdued, as if waiting to assess the status of the CLARITY Act,” Nishikawa said during the presentation.
His comments suggest SBI believes U.S. regulatory developments could play a major role in XRP’s next price move.
SBI Still Backs Ripple Despite Weak XRP Price
Despite XRP’s muted performance, Nishikawa emphasized the value of SBI’s investment in Ripple.
He said SBI’s stake in the blockchain company is currently worth about 6.6 trillion yen. The valuation highlights the firm’s continued confidence in Ripple even as the crypto market remains slow.
Nishikawa also said SBI’s wider crypto asset business posted weaker earnings because of sluggish market conditions. However, its global crypto market-making business remained profitable.
He added that SBI is continuing to expand its crypto offerings, including stablecoin services and lending products, ahead of an expected recovery in digital asset activity.
SBI Continues Crypto Expansion
Nishikawa said Japan already has a well-established regulatory framework for digital assets. That allows SBI to keep investing in new crypto initiatives while waiting for trading activity to recover.
Among its recent initiatives is the launch of new stablecoin-related services through SBI VC Trade. The company is also planning to acquire Bitbank.
The acquisition is expected to increase SBI’s customer base to around 3 million accounts. Assets under custody would also rise to about 870 billion yen, making the platform one of Japan’s largest crypto exchanges.
XRP Remains Under Pressure
Indeed, XRP has yet to reflect the optimism expressed by SBI. At the time of writing, XRP traded at $1.06. The token was down 1.34% over the past 24 hours, 2.29% over the past week, and 42.31% year to date.
The declines suggest investors are still waiting for stronger catalysts before increasing their exposure to the asset.
Nishikawa’s comments align with the popular view that greater regulatory certainty in the U.S. could be a key catalyst for XRP’s next major price move.
Update on the CLARITY Act
Notably, the CLARITY Act remains under Senate consideration as lawmakers face an Aug. 7 recess deadline. Crypto advocacy group Stand With Crypto says supporters have contacted lawmakers more than 1 million times urging passage.
Meanwhile, the bill continues to face debate over regulatory oversight, state enforcement powers, anti-money laundering rules, and ethics provisions. With limited time remaining, its prospects depend on whether senators can secure enough bipartisan support to advance the legislation.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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