- Japan fintech Vlightup launches trade finance platform built on XRP Ledger.
- XRPL escrow enables automated settlement of letter of credit payments in trade finance.
- Payments can be settled within seconds once documents and conditions are verified.
A Japanese fintech company has launched a new trade payment platform built on the XRP Ledger (XRPL), aiming to streamline international trade settlements and reduce delays in traditional letter of credit transactions.
Tokyo-based Vlightup Inc., led by CEO Yoshio Minamoto, announced the launch of its next-generation global trade finance platform on March 4. The system uses blockchain technology to automate settlement processes between importers, exporters, and banks.
“We have officially launched a next-generation trade finance global payment platform based on the XRP Ledger,” he said.
The platform is designed to address longstanding inefficiencies in trade finance, a sector that still relies heavily on manual processes and paper documentation.
Using XRPL for Faster Settlement
The new platform uses the XRP Ledger’s escrow functionality to enable automated, multi-party settlement in letter of credit (LC) transactions. Participants in the process, including the importer, issuing bank, exporter, and purchasing bank, can approve transactions through a distributed signature system.
Funds are released automatically once agreed conditions are met, such as the verification of shipping documents or logistics data.
According to the company, the system can reduce settlement times from several days or weeks to a few seconds or minutes after conditions are satisfied.
Addressing Structural Issues in Trade Finance
Despite increasing digitalization of trade documentation, the final stage of payment execution in global trade often remains slow and complex.
Companies frequently face delays due to minor document discrepancies, manual approvals, or processing bottlenecks between banks. Fraud risks related to forged documents or unauthorized transactions also remain a concern.
Vlightup said its platform redesigns the settlement process by using a multi-party consensus mechanism combined with XRPL escrow, allowing payments to be executed only after required approvals are verified.
Potential Impact on Global Trade Payments
The global trade finance market processes an estimated $9 trillion to $10 trillion in transactions each year, according to industry estimates.
Blockchain-based settlement systems have been proposed as a way to reduce operational costs, improve transparency, and speed up cross-border transactions.
While adoption remains limited, platforms built on networks such as the XRP Ledger could potentially play a role in modernizing the infrastructure that supports international commerce.
Related: Ripple Moves XRPL to Community-Led Funding in 2026
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