Gemini Announces Singapore Expansion Plans

Monex Group, a well-known securities broker in Japan’s financial services sector, is delving further into the digital currency space through the acquisition of a majority stake in 3iQ Digital Holdings, a Canadian crypto asset management company. Whilst the acquisition was announced via a joint press release on Thursday, the specific details of the deal were not disclosed.Photo by sebastiaan stam on UnsplashAchieving growth through cryptoYuko Seimei, the CEO of Monex Group, emphasized the long-term strategy of strengthening their asset management business. By incorporating 3iQ into their portfolio, the aim is to achieve substantial growth by catering to the evolving crypto asset management needs of institutional investors and crypto exchanges globally. Monex Group is already a key player in the Japanese crypto landscape, owning the Coincheck exchange. Coincheck is one of the largest cryptocurrency exchanges in Japan. It has regained market dominance after a cyber attack resulting in the theft of $534 million in digital assets in 2018. Monex collaborated with Japanese telecommunications firm NTT DOCOMO in October, forming Monex Securities as a holding company containing Coincheck, while selling NTT DOCOMO a 49% stake. ETF focusThe acquisition of 3iQ marks Monex’s strategic move to extend its exposure to the North American crypto industry. This adds to the conglomerate’s existing presence in the United States through the ownership and operation of TradeStation, an American brokerage firm. 3iQ, operating under a Canadian license, has come to prominence in the crypto-sphere for launching two exchange-traded funds (ETFs) in Canada. Notably, it introduced Bitcoin and Ethereum ETFs on the Toronto Stock Exchange, showcasing innovation in a region where regulatory approval is awaited by U.S.-based companies. Spot bitcoin ETFs have been hotly tipped to offer the next form of crypto adoption, potentially facilitating the in-flow of massive amounts of money currently within the domain of traditional finance. While the focus has been largely on the United States in that regard, other centers such as Hong Kong are similarly gearing up towards offering spot ETF crypto products to both institutions and retail investors. Amid that background, this acquisition by Monex didn’t go unnoticed by ETF sector professionals. Bloomberg Intelligence ETF Research Analyst James Seyffart took to social media platform X on Thursday to draw attention to the deal. Frederick Pye, the Chairman and CEO of 3iQ, expressed enthusiasm about joining forces with Monex Group. With Monex already owning Coincheck, a crypto exchange powerhouse in Japan, Pye highlighted the potential synergy. The collaboration is seen as an opportunity to enhance Coincheck’s offerings, particularly for institutional investors. Pye characterized the partnership as a groundbreaking collaboration that promises to reshape the crypto industry. Monex’s acquisition of 3iQ is aligned with its broader vision of being a key player in the global crypto asset management landscape. The move not only expands their reach into North America but also positions them to capitalize on the growing demands of institutional investors in the evolving digital currency market.

JPYC Inc., the issuer and operator of the Japanese yen stablecoin JPYC, announced it is set to raise 1.78 billion yen ($11.4 million) in a funding round led by Asteria Corporation. The proceeds will be used to upgrade systems and applications, expand the company's workforce, and bolster services related to the issuance, redemption, and settlement of its stablecoin.  The firm also plans to explore new business opportunities through strategic investments as stablecoins shift from early-stage experimentation to wider commercial use. Currently available on Avalanche, Ethereum, and Polygon, JPYC intends to add support for additional blockchain networks and broaden its use cases.Photo by Possessed Photography on UnsplashUniversities ramp up blockchain trainingSeparately, blockchain education initiatives are advancing in Japanese academia. The Endowed Chair for Blockchain Innovation at the University of Tokyo’s Graduate School of Engineering will launch a new blockchain application practice program in the 2026 academic year. The hands-on track will complement the university's existing public lecture series.  The program will bring together students from diverse fields—including finance, cryptography, art, and product design—to collaborate on practical projects. Interdisciplinary teams will develop new concepts, with selected groups eligible for an entrepreneurship support initiative starting in September. Organizers noted the program aims to cultivate advanced talent while remaining platform-neutral. These developments coincide with the Japanese government’s broader push to integrate digital assets into the financial sector. In a video message at the “MoneyX 2026” crypto and Web3 conference on Feb. 27, Finance Minister Satsuki Katayama stated that the government is advancing efforts to support the broader adoption of stablecoins and tokenized deposits.  According to CoinPost, Katayama indicated the Financial Services Agency (FSA) will back pilot projects under its payment platform (PP) initiative in the securities settlement sector. These projects will test recording the transfer of rights for government bonds, corporate bonds, and equities on blockchain infrastructure, linking settlements to stablecoin payments.  New crypto bureauKatayama also announced plans to launch a new FSA bureau dedicated to digital financial assets as early as this summer, significantly expanding the agency’s organizational capacity. She urged industry participants to leverage the PP framework, particularly for regulatory interpretation support during proof-of-concept trials. Meanwhile, Hong Kong authorities are signaling further policy measures to strengthen the city’s crypto investment landscape. In his latest budget speech, Financial Secretary Paul Chan said the number of single-family offices in the city has exceeded 3,300 and outlined plans to refine the tax regime—including for digital assets—to attract more capital. The proposed revisions would expand the scope of what qualifies as a "fund," bringing certain single-investor vehicles under the definition. The changes would also classify digital assets, precious metals, and specific commodities as eligible investments for tax incentives. The government plans to table an amendment bill in the first half of the year, targeting implementation in the 2025/26 year of assessment.

China’s GAPP proposes ban on gaming crypto token conversionChina’s gaming industry hit a significant speed bump on Friday as the General Administration of Press and Publication (GAPP) unveiled a draft proposing substantial changes to the regulation of in-game tokens, signaling a strategic shift in the country’s stance on digital currencies in gaming.Photo by blurrystock on UnsplashImplementing more stringent controlsThe proposed regulations by GAPP bring about a ban on the conversion of game tokens into physical goods or legal tender. These guidelines, spanning 64 articles, impose stringent requirements on gaming companies. These include mandatory licensing in China, a two-year data retention policy, adherence to national and socialist values in content and the eradication of anonymous user registrations.One significant aspect of the guidelines is Article 23, which specifically addresses the use of game tokens. It proposes restrictions on exchanging them for physical goods, services or legal tender.The regulatory landscape becomes more complex due to the ambiguity surrounding cryptocurrencies, which are not recognized as legal tender in China. Although a warning was issued about the risks inherent in non-fungible tokens (NFTs), they remain legal in China. NFTs feature prominently within blockchain-based gaming.Game providers are also confronted with new limitations on inducements, such as bonuses for registration or daily logins, and are mandated to implement measures against irrational consumer spending.Gaming sector falloutIn the wake of these developments, several Chinese tech giants experienced a significant market downturn in Hong Kong. Tencent, a global gaming powerhouse and one of China’s most valuable companies, saw a 12.4% drop on Friday, marking its worst day since October 2008. This decline erased a massive 367 billion Hong Kong dollars ($47 billion) from Tencent’s market value.NetEase, another gaming giant, witnessed a 25% dive in Hong Kong afternoon trade, recording its most substantial daily loss since its listing in June 2020. Additionally, Bilibili and Kuaishou, prominent players in video-sharing and short-video platforms, experienced declines of 9.7% and 7.2%, respectively, given their involvement in online gaming.Market uncertaintyWith this latest development, the future of gaming crypto tokens remains uncertain in China, with investor confidence having been hit hard. Putting the matter in context on Friday, Stansberry Research Analyst Brian Tycangco took to the X social media platform, stating:”Govt regulation will effectively render prevailing business models irrelevant due to uncertainty regarding monetization. Games are inherently reward-based and if you clamp down on the use of rewards/incentives, you turn an entire industry on its head.”The guidelines, open for public consultation until Jan. 22, 2024, have not yet been legally enacted. This time frame allows for feedback and potential adjustments before enforcement.Notably, the Web3 gaming sector has witnessed substantial activity, with approximately a million unique active wallets engaged daily over the past three months, according to DappRadar. Industry experts, including Yat Siu of Animoca Brands, anticipate a potential surge in user engagement, emphasizing the potential impact of these regulations on the gaming industry’s trajectory.