Tokai Tokyo cooperating with Huobi Japan to provide cryptocurrency service and bring digital securities to Japan

Tokai Tokyo Financial Holdings, Inc. has cooperating capital and business alliance agreements with Huobi Japan Inc. This is a subsidiary of the Huobi Group that operates crypto-asset exchanges globally.

Purpose of cooperating with Huobi Japan of Tokai Tokyo Financial Holdings

To strengthen the management platform to grow into an advanced integrated financial group, Tokai Tokyo realized that one of the company’s essential management issues was to expand its products and services to meet the requirements customers need. And only by deploying leading technologies such as FinTech and digitizing for financial services will Tokai Tokyo Financial Holdings accomplish the goal.

Commercial business activities using Blockchain technology have increased in recent years. Especially the field of application of cryptocurrency assets and Security Token Offering (STO) expanding globally. Through capital use and business alliance with Huobi Japan, a global Blockchain business developer, Tokai Tokyo will promote new businesses in the areas of crypto asset exchange, new financing schemes utilizing crypto assets such as Initial Exchange Offering (IEO) * 1, local currency issuance, and storage and management service associated with crypto assets.

Besides, Tokai Tokyo will considers expanding this business to partner with regional banks and other local banks in the future.

Expected services to expand in the future are the Initial Exchange Offering (IEO). IEO is a model where exchanges mediate sales etc. from companies and organizations that issue currencies, and there are no provisions for ICOs exported by cryptocurrency exchanges. Such as project research and listing after IEO implementation was created as an alternative financing model.

Many IEOs are already taking place in the world, and they are on a downtrend, but this has not yet happened in Japan. However, as the regulatory environment is in place, and the handling of cryptocurrencies is strictly examined in Japan, it is significant that it will be developed differently from overseas IEO cases.

For example, there are developed models of crowdfunding and models that are useful for regional revitalization. Huobi and Tokai Tokyo Financial HD are also paying attention to this regional revitalization, and are considering ways to support issuing local currencies.

At the moment, concerning domestic IEO implementation, Coin Check has announced that it is considering consideration in addition to Huobi Japan.

Besides, Tokai Tokyo Financial HD is developing new Internet security and smartphone application that summarizes the services of the fintech companies to which it invests and plans to provide cryptocurrency trading to regional banks that want to cooperate in addition to the service.

Schedule and prospects

The expected date of buying shares of the two companies is January 2020. This is the scheduled time in the plan. If there is any change, AZ Coin News will quickly inform you. The estimated investment amount is about 500 million yen. Estimates of the impact caused by this issue on the financial situation of Tokai Tokyo Financial HD in the fiscal year ending on March 31, 2020, will be negligible.

Tokai Tokyo brings digital securities to Japan

After experiencing several months of development within the limits of Sand FinTech Sand, the digital exchange iSTOX seems to be making the first big step – towards Japan.

Individually, Tokai Tokyo Financial Holdings has acquired a minority portion of ICHX Tech (iSTOX ‘parent-company’). In the end, iSTOX also seems to offer their services to investors around the world.


Left to right: Masataka Sato (Senior Managing Executive Officer in Tokai Tokyo Financial Holdings), Tateaki Ishida (President & CEO in Tokai Tokyo Financial Holdings), Danny Toe (CEO & Founder of ICHX), Kazuto Hayashi (CEO of Hash Lab Co Ltd) | Source: iSTOX

iSTOX has had a successful year, as they have received various investments during this time. The first prominent example would be the globally renowned Singapore Exchange (SGX), followed by a series of companies in the coming months. SGX invests in iSTOX to develop a security token platform.

By acquiring this position, it is expected that digital securities, hosted on the iSTOX platform, will now be available to Japanese investors. This is possible through the brokerage capabilities of Tokai Tokyo Financial Holdings.

Disclaimer: This English translation is for reference purposes only. In the event of any discrepancy between this Japanese translation and this English translation, the original Japanese version will apply. We are not responsible for this translation or direct, indirect, or any other damages resulting from the translation.

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