Sumitomo Mitsui Financial Group (SMFG), the second-largest bank in Japan will sign a deal with SBI Holdings to offer digital banking services available on smartphones according to an April 27 article.
SMFG will acquire a 20% stake in SBI subsidiary NeoMobile Securities, holdings worth several billion yen by June.
The partnership between SMFG and SBI shows an increase in interest in digital currencies from both firms. However, crypto exchanges and digital assets in Japan will soon face new regulatory challenges.
Laws passed by Japan’s House of Representatives last year regarding the Payment Services Act and Financial Instruments and Exchange Act will come into effect on Friday, May 1.
Both the legislations are modifications to the existing laws for regulating cryptocurrencies in Japan.