Japanese financial services giant SBI Group has acquired a majority stake in Singapore-based cryptocurrency platform Coinhako, the company announced on Friday. Coinhako is licensed by the Monetary Authority of Singapore (MAS) as a Major Payment Institution and operates legally in Singapore.

SBI Holdings CEO Yoshitaka Kitao said the company wants to build a global digital asset network by connecting cryptocurrency exchanges around the world. SBI is one of Japan's largest online financial companies, serving more than 14 million users and managing approximately $308 billion in assets.

Expanding Digital Asset Strategy

The Coinhako acquisition comes shortly after SBI partnered with Ondo Finance to bring tokenized Japanese stocks and other real-world assets onto the blockchain. These assets will use SBI's JPYSC stablecoin for settlement.

SBI has also entered a new partnership with the Solana Foundation. As part of the agreement, the foundation will take an ownership stake in SBI R3 Japan, which will be renamed SBI Solana Global.

The new company will focus on:

  • Issuing stablecoins
  • Tokenizing real-world assets such as corporate bonds and real estate
  • Expanding blockchain-based financial services

SBI said this strategy is designed to connect traditional financial markets with blockchain technology.

A Major Move for Asia's Crypto Industry

According to Joseph Goh, Director and Head of Asia Pacific at crypto investment banking firm Areta, SBI is taking a unique approach.

He said SBI is becoming the first major financial group in Asia to build a complete digital asset ecosystem, covering everything from asset issuance and settlement to trading platforms, investment management, and retail distribution across multiple countries.

Goh added that SBI is also positioning itself to play a major role in yen-based blockchain payments, which could become an important part of Asia's financial system in the future.

JPYSC Still Has Limitations

Although SBI is expanding its blockchain services, its JPYSC stablecoin still has some restrictions.

At the moment, JPYSC can only be used inside SBI VC Trade accounts. Users cannot withdraw the stablecoin to external crypto wallets or use it for transactions on public blockchains.

This means the stablecoin currently works only within SBI's own ecosystem.

Growing Confidence in Blockchain

Sota Watanabe, CEO of Startale Group, which is working with SBI on JPYSC, said SBI's continued investment shows increasing confidence in blockchain technology among major financial institutions.

He believes blockchain is no longer viewed as just an emerging technology but is becoming an important part of future financial infrastructure.

Watanabe also said Japan is in a strong position to become a global leader in digital assets thanks to its clear regulations and well-established financial industry.

SBI Continues Expanding Its Crypto Business

SBI has been actively growing its presence in the cryptocurrency industry.

In June, the company agreed to acquire Tokyo-based crypto exchange Bitbank for around $289 million. The deal is expected to close in October, pending regulatory approval.

SBI previously acquired crypto exchange Bitpoint in 2022.

The company has also invested heavily in the crypto sector by leading:

  • A $76 million Series C funding round for institutional crypto exchange EDX Markets.
  • A $25 million Series C funding round for crypto risk management company Gauntlet.

These investments highlight SBI's long-term commitment to expanding its digital asset business and strengthening its position in the global cryptocurrency market.