Nomura-Backed Komainu to Acquire Propine, Expanding Crypto Services Across Asia

Propine is part of Komainu’s broader Asia expansion plans as regulatory frameworks for digital assets become more mature. In addition to the Capital Market Services licence, Komainu will apply for a Major Payment Institution licence in Singapore to offer full payment services and diversify its product range.

– Nomura-backed Komainu to acquire crypto custodian Propine amid Singapore expansion (The Block)

– Ethereum Price Dips Again: Will Bulls Step In to Protect the Trend? (NewsBTC)

– Cat In A Dog's World Brushes Off Market Pullback With 6% Spike — Dogecoin, Shiba Inu YTD… pic.twitter.com/s3nfragEuY

— Crypto Professor X (@CryptProfessorX) October 22, 2024

Institutional Demand in Asia Growing

Komainu’s expansion is driven by growing interest from institutional clients including private banks, hedge funds and asset managers. Komainu’s CEO Paul Frost-Smith said demand for Komainu’s advisory and collateral management services is increasing in Singapore and Hong Kong. Frost-Smith also mentioned Komainu Connect, the company’s collateral management service which is already used by investors in Australia, Thailand and Malaysia.

“Singapore is a key strategic hub for Komainu in Asia and Propine will help us meet the growing client demand we are seeing,” said Frost-Smith.

With ties to Nomura and a growing client base, Japan is also a key market for Komainu. The company’s expansion plans align with Japan’s evolving crypto regulation and market growth.

Japan to Lower Crypto Tax Rates

In a separate development, Japan is considering reducing its crypto tax rate to match other financial assets, potentially lowering crypto profits tax to 20%. The Financial Services Agency (FSA) proposed the change in an August 30 tax code request which will take effect in 2025.

NOMURA-BACKED KOMAINU ACQUIRES PROPINE FOR SINGAPORE EXPANSION

Komainu, the crypto custody firm backed by Nomura, is set to acquire Singapore-based Propine Holdings, pending approval from the Monetary Authority of Singapore (MAS).

This move aims to enhance Komainu's footprint… pic.twitter.com/K40KNnfk8H

— Crypto Town Hall (@Crypto_TownHall) October 22, 2024

The FSA’s proposal will treat cryptocurrencies as financial assets and make them more investable. The agency said this will drive more growth in Japan’s crypto market where daily crypto trading is expected to increase from 350,000 to 500,000 by end of year according to a Bitget study.

• Japan’s market will be between Turkey and Indonesia in size.

• Crypto will be more investable.

• Japan has high crypto awareness so ready for fast adoption and tech development in crypto space.

As Komainu continues its expansion, Japan’s evolving regulatory environment could further solidify the company’s position in the region’s growing crypto market.