Q. What is a digital asset?
A. Digital asset is a general term for value stored digitally in the form of, for example, encrypted assets (cryptocurrency), security tokens (digitized financial products), and NFTs (non-fungible token; digital data offering proof of authenticity and ownership). Nomura has been engaged in research and investment in the digital asset space, as well working on STOs (security token offering) for ultra-high-grade residences in Tokyo and resort properties.
Q. Why did Nomura establish Laser Digital?
A. We believed that distributed ledger technology had the potential to revolutionize the financial industry. As digital assets continued to attract attention in the market as a new type of investment, we felt the timing was right to establish a new business line leveraging Nomura’s expertise and platforms.
Q. What prospects does Laser Digital have for success?
A. Laser Digital is a pioneering initiative in the financial industry, and we believe we can differentiate ourselves with our service offerings and client franchise. Laser Digital is also a subsidiary of Nomura Holdings, enabling us to leverage our expertise in finance and technology to develop a robust business in cutting-edge fields.
Q. What are your plans going forward?。
A. With offices currently in London, Zurich, Dubai, and Tokyo, we are building three businesses offered to institutional investors:
- Venture Capital: Invests in early-stage companies that are creating new culture and value in the digital asset sphere
- Asset Management: Develops investment opportunities in crypto assets and provides these investment opportunities to clients
- Trading: Contributes to the development of the market by providing market liquidity and connecting digital assets to traditional financial assets
We have plans to develop these businesses even further. For example, we were the first firm to obtain a cryptocurrency business license issued by the Virtual Assets Regulation Authority (VARA), the world’s first virtual currency investment regulator. We have also launched a Bitcoin fund and an Ethereum fund for institutional investors.
The digital asset market is valued at over US$2 trillion (as of the end of February 2024) and is expected to grow even further. We will work to strengthen our presence in the market by deepening collaboration across Nomura Group. Last autumn, we exhibited in The Sandbox metaverse to promote Laser Digital to institutional investors around the world. We want to further expand our presence and pursue business creation in the digital asset domain.