sbi group - Pwim.Net

Japanese Financial Giant SBI Group to Borrow from Bitcoin Holders at Annual Rate of 1%

Strategic Business Innovator (SBI) Group or SBI Holdings has rolled out a cryptocurrency rental service dubbed “VC TRADE LENDING” aimed at borrowing crypto assets from customers in exchange for a usage fee based on the period and quantity of lending. The Japanese financial giant with a market cap of around $4.4 billion seeks to offer more trading opportunities in the crypto space.

Bitcoin holders to be the first beneficiaries

As per the announcement:

“VC TRADE LENDING is a service that allows customers to rent out their cryptocurrency assets to us and receive usage fees according to the quantity and period of cryptocurrency assets.”

SBI Group will borrow a minimum of 0.1 Bitcoin (BTC) to a maximum of 5 BTC from holders at an annual interest rate of 1% with the minimum lending period being 84 days. This will work just like regular savings account in a bank, whereby a client lends out fiat money and accrues a yearly interest payment. In comparison, the bank uses these funds for economic services like loans. The company expects to expand this service to other cryptocurrencies like Ethereum (ETH) and Ripple (XRP) in the near future.

Treading with caution

The Tokyo-based financial institution noted that Bitcoin’s volatility was still a concern. Consequently, it needs to tread with caution when dealing with this new crypto lending service.

The rollout of this initiative comes at a time when BTC has been on a massive price rally. Notably, it is a stone’s throw away from the all-time high of $20,000 because it is currently trading at around $19,000. Furthermore, on-chain analytics platform ChartsBTC recently revealed that the Bitcoin trend in 2020 is outperforming the post-halving bull run of 2016.

SBI Group acknowledged that it intended to transform the crypto lending sector because it has suffered from counterparty risks like bankruptcy and defective smart contracts. It stated:

“All of our customers’ lending destinations for our cryptocurrency lending service are SBI Group companies that boast high reliability, so you can use it with confidence.”

By formulating appropriate products, this financial institution seeks to optimize crypto trading opportunities that are market-based.

Ripple Partner SBI Group to Offer Year-End Benefits to Shareholders through XRP Cryptocurrency

Japanese financial and investment banking giant, SBI Group has announced plans to reward its shareholders with end-of-the-year benefits in cryptocurrency, more specifically with XRP.

According to the official press release shared by the company, the move to pay the accrued benefits in XRP is to let the shareholders have a deeper understanding of SBI Group’s business, and also encourage them to hold their shares medium to long term.

To qualify for the reward, shareholders must hold at least a unit of the company’s shares, equivalent to 100 shares, a requirement that must be met latest by the 31st of March, 2021. The company noted that the number of crypto assets (virtual currency) XRP to be presented will be determined at the price as of 17:00 on June 30, 2021. (Rounded down to the nearest 1XRP).

XRP Finding Favor Amid Ripple-SEC Court Battle

The news from the SBI Group with respect to rewarding its shareholders through the XRP coin reveals the health of Ripple overseas partnership amidst the ongoing court battle with the United States Securities and Exchange Commission (SEC).

The lawsuit has strained Ripple’s business in the US, as the lack of regulatory clarity has caused the firm to part ways with its key ally, MoneyGram. While this may spell a bad omen for Ripple, Chief Executive Officer, Brad Garlinghouse revealed in an interview earlier this month that the company has inked 15 new deals across the globe since the SEC clampdown began, reaffirming the firm’s business is healthy, particularly in the Asia-Pacific region.

The XRP coin has also been caught in the crosshairs of the lawsuit with many investors uncertain as to the future of the coin, which has since been displaced as the third-largest cryptocurrency by market cap. The move by the SBI Group will perhaps restore the confidence in the asset, and in its acclaimed role of facilitating fast and cheap cross-border payments.

Japanese financial and investment banking giant, the SBI Group has announced plans to pay its shareholders their end-of-the-year benefits in cryptocurrency, specifically the XRP coin. According to the official press release shared by the company, the move to pay the accrued benefits in XRP is to let the shareholders have a deeper understanding of SBI Group’s business, and also encourage them to hold their shares medium to long term.

XRP Finding Favor amid Ripple-SEC Court Battle

The lawsuit has strained Ripple’s business in the US, as the lack of regulatory clarity has caused the firm to part ways with its key ally, MoneyGram. While this may spell a bad omen for Ripple, Chief Executive Officer, Brad Garlinghouse revealed in an interview earlier this month that the company has inked 15 new deals across the globe since the SEC clampdown began, reaffirming the firm’s business is healthy, particularly in the Asia-Pacific region.

Ripple Is Planning to Go Public, Says SBI CEO

Normal
0

false
false
false

EN-US
X-NONE
X-NONE

Yoshitaka Kitao, the CEO of SBI Group, has revealed that an initial public offering may be in Ripple’s future plans.

Kitao said that during an earnings call with investors. The CEO stated that Ripple is just waiting for the legal battle with the U.S SEC (Securities and Exchange Commission) to reach a conclusion before it embarks on moving forward with its IPO plans.

SBI Group’s claims about Ripple going public holds weight. The financial services company is Ripple’s largest third-party investor in Ripple and therefore is able to provide insider insight on the matter. SBI has invested heavily in fintech companies, including Ripple and its competitor R3. During the earnings call presentation, Kitao stated that SBI Group’s investment in Ripple will pay off following its IPO.

Kitao’s claim that Ripple will go public is something that has been backed by previous statements from Ripple CEO Brad Garlinghouse and Executive Chairman Chris Larsen.

Kitao said: “After the current lawsuit, Ripple will go public. The current CEO wants to do that. Chris wants to do that.”

Even before all the lawsuit issues emerged, Garlinghouse had been talking about a potential IPO for Ripple.

In the past, Garlinghouse stated that he believed that blockchain and cryptocurrency IPOs were going to become more common and even mentioned that Ripple will be among the crypto firms. He said: “In the next 12 months, you’ll see IPOs in the crypto/blockchain space. We’re not going to be the first, and we’re not going to be the last, but I expect us to be on the leading side. It’s a natural evolution for our company.”

Crypto Firms Betting on IPOs

Coinbase made history when it went public through a direct listing on Nasdaq stock market at the beginning of this month. The recent big debut has paved the way for several crypto-related firms planning to go public next. Coinbase’s direct listing provides something of a test case for other cryptocurrency companies.

For several crypto firms, the decision to go public will depend on the financial interest in the market. While others may seize the moment right away, others may sit tight.

For example, San Francisco-based Kraken crypto exchange is considering going public in 2022.

London-based crypto firm Blockchain.com is contemplating a public debut and recently revealed that it is carefully considering its public-market options, although it is not in a rush. Bakkt, BlockFi, eToro, and Gemini are all pondering a debut as well as Ripple, who is also considering going public.

/* Style Definitions */
table.MsoNormalTable
{mso-style-name:”Table Normal”;
mso-tstyle-rowband-size:0;
mso-tstyle-colband-size:0;
mso-style-noshow:yes;
mso-style-priority:99;
mso-style-parent:””;
mso-padding-alt:0in 5.4pt 0in 5.4pt;
mso-para-margin-top:0in;
mso-para-margin-right:0in;
mso-para-margin-bottom:8.0pt;
mso-para-margin-left:0in;
line-height:107%;
mso-pagination:widow-orphan;
font-size:11.0pt;
font-family:”Calibri”,sans-serif;
mso-ascii-font-family:Calibri;
mso-ascii-theme-font:minor-latin;
mso-hansi-font-family:Calibri;
mso-hansi-theme-font:minor-latin;
mso-bidi-font-family:”Times New Roman”;
mso-bidi-theme-font:minor-bidi;}

SBI to Launch the First Crypto Fund for Long-term Investors in Japan at the end of November

The Japanese Financial Giant SBI Group stated that it will launch its first cryptocurrency fund in Japan before the end of November this year to provide Japanese investors with a more diverse portfolio.

According to a Bloomberg report on Thursday, the fund will provide cryptocurrencies such as Bitcoin, Ethereum, Ripple, Bitcoin Cash, and Litecoin.

SBI Director and Senior Management Executive Tomoya Asakura said that the fund may grow to hundreds of millions of dollars in the future, saying that investors may invest approximately 1 million to 3 million yen, approximately 9,093-27,279 US dollars.

The chairman at Morningstar Japan KK-SBI subsidiary revealed in an interview that the group will decide the development process of the second cryptocurrency fund based on the promotion of the first cryptocurrency. If it goes well, SBI Group will act quickly to form a second cryptocurrency fund. He said that:

“I want people to hold it together with other assets and experience firsthand how useful it can be for diversifying portfolios.”

Due to strict regulations against hackers and national policies, it took the SBI group 4 years to launch this cryptocurrency fund. And change the original investment method-selling cryptocurrency through investment trusts, a popular investment method currently banned by the financial services bureau of the regulatory agency.

Therefore, the SBI group decided to adopt a method called “anonymous partnership”.

Asakura stated that he will work hard to add cryptocurrencies to the Japanese public and Financial Services Agency (FSA), the regulator, so as to obtain a more flexible balanced investment portfolio that is contrary to traditional investment portfolios, thereby changing the popular belief that “cryptocurrencies are highly volatile and speculative”.

Asakura added that;

“Once people feel it firsthand, they will understand that we aren’t recommending cryptocurrencies as a tool of speculation.”

Japan is currently one of the largest markets for cryptocurrency transactions in the world. Recently, US cryptocurrency exchange Coinbase has partnered with Japan’s largest bank Mitsubishi UFJ Financial Group (MUFG), to expand cryptocurrency trading in Japan, as reported by Blockchain.News on August 19.

SBI, Sygnum, and Azimut Jointly Established a $75M Venture Capital Fund for Crypto Startups

Japanese financial giant SBI Group, Swiss bank of digital asset management Sygnum, and Italy’s Azimut Group jointly raised a $75 million venture capital fund in Singapore Thursday, aiming to invest in capable start-up companies in the digital asset field.

This new fund company brought together the capital of these three companies with senior experience in the field of digital assets and registered as a variable capital company.

SBI Venture Capital will assume the management position of the fund and will lock the investment target to focus on the pre-A round and A round companies who aim at the development of blockchain/distributed ledger technology (DLT) infrastructure, decentralized finance (DeFi) solutions, and regulatory technology tools.

The digital asset economy is expected to flourish in various fields in the future. According to the official announcement, it is expected that by 2027, 10% of the global GDP will use DLT infrastructure.

From SBI Ven Capital CEO and Managing Director Lin Ryosuke Hayashi said:

“DLT and digital assets are at the inflection point of mainstream adoption, and they have the potential to reduce inefficiencies and unlock new capabilities across several sectors, such as financial services and supply chain management. Amidst this backdrop, we are excited to launch this latest venture capital focused fund offering with our partners, Sygnum and Azimut.”

Statistics show that the amount of venture capital flowing into the digital asset industry this year has increased from about 5% of the total last year to 6%.

In the first half of 2021 alone, global investment in blockchain/DLT and cryptocurrency companies has exceeded 17 billion U.S. dollars, a five-fold increase from 2019.

All kinds of data indicate that the digital asset industry has entered a rapid growth in the form of exponential. The fund created by the three companies will also participate in the trend of maintaining a wide range of diversification in global investment opportunities

As reported by Blockchain.News on September 3, the Japanese Financial Giant SBI Group stated that it will launch its first cryptocurrency fund in Japan before the end of November this year to provide Japanese investors with a more diverse portfolio.

SBI Digital Taps License to Operate in Singapore

SBI Digital Markets, a subsidiary of SBI Group, a leading Japanese financial services firm, has announced it has been granted the Capital Markets Services (CMS) Licence from the Monetary Authority of Singapore (MAS).

The new license will make the startup launch a series of digital assets products to further extend its stance as a financial service provider of note in the country.

The CMS license followed the In-Principle Approval that was granted to it back in May. As detailed by the platform, it will launch custodial services and a proprietary digital asset securities platform to help capture the market from both the private and public sectors.

“Being awarded this licence and the backing of the SBI group sends a message that we are a first-choice institutional digital asset securities issuance platform to financial institutions in the region,” said Winston Quek, Chief Executive Officer of SBI Digital Markets, “Singapore’s financial regulatory system is among the most respected in the world for its rigour and transparency, so MAS’s licence signals the standards at which we will operate to our potential partners.”

There has been a steady growth in the demand for crypto-related products over the past year. The solid regulatory clarity in Singapore, compared to other nations, has made the country one of the top destinations for crypto service providers looking to penetrate the Asian market. SBI Digital Markets comes off as one of the few players in the crypto industry to have been granted the CMS license thus far.

Backed by the highly blockchain-bullish SBI Group, which has a major influence on the Japanese financial scene. SBI Group boasts of having the highest number of securities accounts in Japan, and its solid financial base and expertise will help SBI Digital Markets excel in its push to maximize the new license from the Singaporean Central Bank.