SBI Holdings, Inc. (SBIH) today announced that it has signed a memorandum of understanding with CoVenture Holding Company (CV), a New York-based asset management company, for collaboration in various businesses related to cryptocurrency. CV has teamed up with investors and advisors with profound knowledge of cryptocurrencies. The company thus plans to set up and manage investment funds that invest in blockchain assets and cryptocurrency as a new strategic investment asset.
With an eye to expanding into the business of virtual currency exchange services, SBI Holdings has made an effort to make its way into cryptocurrency-based businesses to meet various needs of investors, including the establishment of SBI Virtual Currencies and the preparation for the launch of SBI MAX (tentative name) in Hong Kong.
As part of this initiative, SBIH has reached a collaboration agreement with CV in the following areas:
・Capital investment in CV
・Capital investment in a management company of cryptocurrency funds to be set up by CV
・Establishment of a joint venture that will set up cryptocurrency funds and provide investment advisory and intermediary services, including marketing in Japan
Japan has been making headway in the creation of a healthy business environment for cryptocurrency transactions. For instance, Japan’s revised Payment Services Act, enforced in April 2017, defines cryptocurrencies or “virtual currencies” as a means of payment with proprietary value. In addition, cryptocurrency transactions such as bitcoin payments have become exempt from consumption tax effective from July 2017.
Under these circumstances, SBIH will strive to develop more advanced services using cryptocurrencies with the purpose of serving diversified needs of investors and providing them with an opportunity to invest in new value assets. In addition, SBIH will continue to roll out various new cryptocurrency-based businesses actively with an eye to developing a new financial ecosystem involving crypto.
