Key Takeaways

Metaplanet has launched a regulated securities business to develop bitcoin-backed financial products in Japan.
The company’s Project Nova aims to combine bitcoin, blockchain, and traditional finance through partnerships with JPYC and Progmat.
No bitcoin-backed products have been issued yet, as the project is still undergoing regulatory, technical, and product design reviews.

Metaplanet Expands Into Regulated Bitcoin Finance

Japanese Bitcoin-focused company Metaplanet has launched a new securities business after completing its acquisition of Siiibo Securities. The move marks a major step in the company’s plan to create bitcoin-backed financial products for investors in Japan.

Metaplanet on X

Metaplanet completed the purchase of Siiibo Securities for 2.1 billion yen (about $13 million) on July 13. After the acquisition, Siiibo was renamed Metaplanet Securities and became the company’s platform for developing regulated digital asset investment products.

The new business gives Metaplanet something it previously did not have; a licensed securities platform. Metaplanet Securities operates under Japan’s Type I Financial Instruments Business Operator license, which is regulated by the Financial Services Agency.

This license allows the company to create and distribute securities products to investors.

The launch represents a change in Metaplanet’s business strategy. Until now, the company was mainly known for buying and holding large amounts of bitcoin. With Metaplanet Securities, the company wants to use its bitcoin holdings to create financial products that can generate income.

Metaplanet has named this broader strategy “Project Nova.” The goal of Project Nova is to build a bitcoin-focused financial ecosystem in Japan by creating products such as bitcoin-backed bonds, digital credit products, and tokenized securities.

Metaplanet’s Project Nova — Shareholders’ document

As part of Project Nova, Metaplanet Securities is working with Japanese yen stablecoin company JPYC and blockchain security token platform Progmat. The three companies are exploring ways to use bitcoin as collateral for new types of digital financial products.

The proposed system would combine bitcoin, blockchain technology, and traditional finance. Progmat would provide the technology for issuing and managing digital securities, while JPYC would provide a yen-based stablecoin that could be used for payments and settlements.

Metaplanet believes this system could make financial markets faster and more efficient. Digital bonds could potentially allow 24-hour trading, faster settlement, and automatic interest calculations through blockchain technology.

However, the company has not launched any bitcoin-backed products yet. The project is still under study, and the companies are reviewing product designs, regulations, technical requirements, and investor protection measures.

Metaplanet said:

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“The four companies will examine issues in product design, the need for proof-of-concept initiatives, and the possibility of future issuance […] Nothing has been determined regarding issuance timing, terms, yield, product details, distribution methods, or the form of collaboration.”

The acquisition of Siiibo Securities gives Metaplanet an existing financial platform instead of having to build one from the beginning. Siiibo, founded in 2019, operated an online corporate bond platform and had supported more than 40 companies with over 100 bond issuances.

The existing license, technology, and investor network could help Metaplanet move faster as it develops new bitcoin-related financial products. The company hopes to use the platform to reach both institutional investors and individual investors in Japan.

The company believes Japan could be an important market for bitcoin-linked financial products because the country has a large amount of household savings held in low-yield assets. Metaplanet wants to offer investors new options through regulated financial products connected to Bitcoin.