Japanese Bank Nomura Launches "Long-Only" Bitcoin Exposure Fund

Traditional finance and technology companies have been foraying into the crypto domain for some time now. Japan’s largest investment bank and brokerage group Nomura has taken its endeavors to the next level recently. Nomura has a dedicated crypto unit named Laser Digital. On Tuesday, September 19th, this entity launched a new product focusing on the crypto market.

Here’s Everything The News Revealed

Laser Digital launched its asset management project with a Bitcoin fund. The Bitcoin Adoption Fund is a part of Laser Digital Funds SPC. It would provide long-term exposure to institutional investors of BTC. Notably, the crypto wing of Nomura is registered with the Cayman Islands Regulatory Authority as a mutual fund.

To secure the fund’s assets, Laser Digital will be using Komainu. Komainu is the first regulated digital asset custody solution that was collectively started by Nomura, Ledger, and CoinShares. Since its inception in 2018, it had the aim of providing a secure repository for crypto assets. Thus, using this solution seems to be an obvious and prudent choice as well.

The firm also divulged that the “Long-Only” fund is its first crypto investment product. It plans to bring forth a range of such solutions in the future. At the time of launch, BTC’s price reached $27,000. It was termed as the biggest rise since August. The last few months have been bumpy for the original cryptocurrency.

A Peep Into Laser Digital Asset Management

Sebastian Guglietta, Nomura’s former chief scientist, leads Laser Digital’s asset management operations. Before taking the designation, he was a senior scientist and a portfolio manager at Brevan Howard. Speaking at the event, Guglietta said that technology is the key driver of global economic growth.

He said that transforming the economy from analog to digital is an important task. Bitcoin will play an instrumental role in making this paradigm shift happen. The long-term exposure will enable the original cryptocurrency to do that. This fund will lure investors to capture this macro trend. He further spilled beans on Laser Digital’s core areas of focus.

According to him, the areas of focus are: trading, venture capital, and asset management. So far, the company has invested in ten crypto startups including Infinity Exchange, Orderly Network, and WebN Group. The Block Pro’s Deals Dashboard gives lucid information about the firm’s investments and acquisitions. It acquired Elysium Technology to establish itself as a port-trade solution provider. Through this platform, Laser Digital will reach over-the-counter digital assets and foreign exchanges.

Furthermore, Laser Digital’s Dubai unit obtained license approval last month. Sanctioned by the city’s Virtual Asset Regulatory Authority, the permit will ensure smooth and extensive operations. It will let the company provide asset management and broker-dealer services.

Upshot

The initiative certainly means a lot for Bitcoin and its investors. Seemingly, the market is expecting good adoption of it as well. Also, it’s one of those projects that bring real-world finance into the crypto domain. As mentioned above, Laser Digital is going to launch an array of similar solutions. So, crypto users are quite positive about the firm’s growth and its contribution to Bitcoin.