Daiwa Securities Group Inc., together with pafin Inc., the operator of the cryptocurrency accounting and profit calculation service cryptact, have agreed to commence discussions towards forming a strategic business partnership aimed at promoting Web3-related businesses. Preceding this strategic alliance, Daiwa Securities Group Inc has decided to underwrite the third-party allocation of newly issued shares carried out by pafin Inc.
Background
Web3, the distributed internet which leverages blockchain technology, is being widely adopted across various industries including finance and is in a period of rapid market growth. In Japan, the government acknowledges it as a vital growth sector, including it in its comprehensive policy guidelines and a 5-year program targeting startup cultivation.
Daiwa Securities Group Inc. has been tracking the rapid development of the Web3 sector and recognizes it as a field with the potential for further growth. In contributing to the sound development of the industry, Daiwa Securities Group Inc. has undertaken various initiatives. Its core subsidiary, Daiwa Securities, is the leading (*1) underwriter of security tokens in Japan and has undertaken 22.6 billion Yen in issuance since launching the business in February 2022. Additionally, its group company, Fintertech Co. Ltd., established in 2018, has been providing Japan's first cryptocurrency-backed loans since March 2020.
pafin Inc. released cryptact, a cryptocurrency accounting and profit calculation service in December 2017. In June 2023, they launched defitact – labeled “Your Web3 Sidekick” – a service that visualizes on-chain transactions and assets on multiple blockchains. By providing critical infrastructure for Web3, pafin Inc. is working towards providing the backbone for a constructive and sustainable adoption of the technology.
Daiwa Securities Group Inc. and pafin Inc. are now poised to integrate their financial and Web3 technical expertise, aiming to forge a strategic business alliance to enhance their respective business operations and stimulate joint development in the Web3 field. Further details of the partnership will be announced at a later date.
(*1) As of August 2, 2023.
About Daiwa Securities Group Inc.
Head Office
GranTokyo North Tower
9-1, Marunouchi 1-chome, Chiyoda-ku, Tokyo 100-6751, Japan
President and CEO: Seiji Nakata
Commencement of Operations: April 26, 1999
https://www.daiwa-grp.jp/english/