LATEST: ⚡ Japanese financial giant Nomura Holdings says it will launch crypto exchange operations through its Laser Digital subsidiary by the end of the year, according to Nihon Keizai Shimbun. https://t.co/dFeSWKc5Y7 ...

Core Viewpoint - Nomura Holdings is reinforcing its commitment to the crypto market by tightening risk controls at its Laser Digital unit to manage earnings volatility while pursuing long-term strategies [1][2][5]. Group 1: Company Strategy - The bank has implemented stricter position management to reduce risk exposure and limit earnings fluctuations caused by crypto market volatility [2][5]. - Nomura's strategy aims to capture growth opportunities in the crypto market while enhancing its services and customer base [2][5]. - The firm acknowledges that earnings volatility is inherent in the crypto-asset business and emphasizes a medium- to long-term perspective [2][5]. Group 2: Market Context - The crypto market has experienced a significant decline, with total value dropping by nearly half a trillion since January 29, 2024 [3]. - Bitcoin reached a low of $72,870, its lowest level since November 2024, before recovering to over $76,000 [3]. - Following the October 10 flash crash, which eliminated over $19 billion in leveraged positions, Bitcoin ended the year around $87,000, approximately 31% below its peak [4]. Group 3: Financial Performance - Losses at the Laser Digital unit contributed to a 9.7% decline in Nomura's fiscal third-quarter profit [2]. - The bank's assets under management were reported at $673 billion as of late last year [5]. - The Q3 performance is not indicative of any fundamental weakness, as risk-taking at Laser Digital is described as being at institutional grade [6].

RT James Hunt (@humanjets)ICYMI: Here's a quick news recap from today's Asia & EMEA sessions @TheBlock__ 👇🔮 Solana-based DEX aggregator Jupiter announced that it is integrating Polymarket, bringing the decentralized prediction markets platform to Solana.🇯🇵 Japan's Nomura Holdings is scaling back its cryptocurrency positions following losses in its digital asset business during the third quarter of its fiscal year.🗄️ Blockstream CEO and co-founder Adam Back addressed newly surfaced documents from the Jeffrey ...

1. Report Industry Investment Rating - No specific industry investment rating is provided in the report 2. Core Viewpoints - The report analyzes the fixed - income market, including bond price movements, new issuances, and macro - economic factors. It also provides insights into the China economy based on PMI data and anticipates policy stimulus and GDP growth trends [2][3][13] - West China Cement's tender offer and new bond issuance are considered to lower its near - term refinancing risk, and the report maintains a buy rating on WESCHI 9.9 12/04/28 [7][8] 3. Summary by Relevant Catalogs Trading Desk Comments - Last Friday, financial FRNs traded 1bp wider. In HK, NWDEVL/VDNWDL complex surged 0.5 - 3.0pts. FAEACO 12.814 Perp rose 1.5pts. SHUION 26 - 29 edged 0.2 - 0.6pt higher. SUNHKC 26 was 0.1pt lower and SUNHKC 29 was 0.3pt higher. TW lifers were 2 - 4bps wider. Long - end MEITUA/KUAISH widened 2 - 3bps. EHICAR 26 was down by 0.6pt. WESCHI 26 - 28 were 0.1pt higher. In Chinese properties, VNKRLEs rose 1.8 - 2.7pts. FUTLAN 28 edged 1.1pts higher. LNGFOR 27 - 32 were 0.2pt lower to 0.2pt higher. In SE Asian space, OCBCSP/UOBSP traded 1 - 2bps wider. IHFLIN 27 - 30/TOPTB 6.1 Perp were unchanged to 0.1pt lower. VLLPM 27 - 29 rose 1.0 - 1.3pts. GLPSP Perps were up by 0.5 - 0.9pt. JP insurance subs like RESLIF 6.875 Perp leaked by 0.1pt. NTT 35/MUFG35 - 36 were 1 - 3bps wider. Yankee AT1s were 0.3pt weaker. In the Middle East, ARAMCO 30 - 56s/SECO 29 - 36s widened 1 - 4bps. Long - end KSAs were down 0.1 - 0.5pt. LGFV space was stable [2] - This morning, HYNMTR FRNs were 1 - 2bps tighter. KUAISH slightly recovered to 1bp tighter. ZHOSHK 28 spread was unchanged. FAEACO 12.814 Perp/VNKRLE 27 were 1.0 - 1.2pts lower. NDPAPE 14 Perp was 0.3pt higher. WESCHI 26 - 28 were 0.4 - 1.0pt higher [3] Marco News Recap - Last Friday, S&P (- 0.43%), Dow (- 0.36%) and Nasdaq (- 0.94%) were lower. Trump nominated Kevin Warsh to lead Federal Reserve. US Dec'25 PPI was +0.5% mom, higher than the market expectation of +0.2%. 2/5 - year UST yield was higher while 10/30 - year UST yield was lower. 2/5/10/30 - year yield was at 3.52%/3.79%/4.26%/4.87% [6] Desk Analyst Comments - West China Cement (Weschi) launched a tender offer for its USD200mn WESCHI 4.95 07/08/26 at a tender price of 101.238, equivalent to the bond's call price. The offer expires on 6 Feb'26 5pm CET. Weschi plans to redeem WESCHI 26 in full on 6 Mar'26 at 101.238 [7] - Concurrently, Weschi will issue USD300mn WESCHI 10.5 11/11/29 (-/B/B). Net proceeds will be used to refinance existing debts, including funding the tender offer and early redemption for WESCHI 4.95 07/08/26. The report maintains a buy on WESCHI 9.9 12/04/28 for its good carry, with WESCHI 28 trading at YTM of 9.8% at 100.3, up c2pts YTD. Weschi's earnings improved in 1H25, and near - term refinancing risk is viewed as lower [8] China Economy - China's manufacturing PMI retreated in January after a December rebound. Demand softened as new orders slipped back into contraction and export orders weakened again. Deflation pressure continued to ease, with raw material purchase and ex - factory prices both expanding, indicating PPI may return to positive sooner. Service PMI remained in contraction while construction PMI fell back, signaling pressure to stabilize fixed asset investment. Policy stimulus around CNY is expected, including stabilizing the property market and stimulating consumption. A 50bp cut in RRR and a 10bp cut in LPR in 1Q26 are expected, followed by an additional 10bp LPR cut in 3Q26. The broad fiscal deficit should remain almost flat at 8.5% in 2026, and the full - year GDP growth rate may decline from 5% in 2025 to 4.6% in 2026 [12][13] - Manufacturing PMI fell to 49.3% in January from 50.1% in December, with new order index declining to 49.2% from 50.8% and new export orders falling to 47.8% from 49.0%. Production eased but stayed in expansion at 50.6% in Jan. Deflation pressure continued to ease as raw material purchase prices stayed elevated and ex - factory prices improved. Import demand stayed weak, and inventory indicators remained subdued [14] - Non - manufacturing PMI softened in January. Service PMI edged down to 49.5% from 49.7%, with activity expectations improving. Service selling prices improved, while employment remained subdued. Construction fell to 48.8% in January, with new orders weakening and business expectations easing, indicating pressure on fixed asset investment [15] Offshore Asia New Issues Priced | Issuer/Guarantor | Size (USD mn) | Tenor | Coupon | Priced | Issue Rating (M/S/F) | | --- | --- | --- | --- | --- | --- | | ADM Elektrik | 500 | 5NC2 | 9.5% | 9.5% | B2/-/BB | | Tsetsen Mining and Energy | 300 | 5yr | 11.375% | 11.5% | Unrated | | West China Cement | 300 | 3.75yr | 10.5% | 10.5% | -/B/B | [18] Pipeline | Issuer/Guarantor | Currency | Size (USD mn) | Tenor | Pricing | Issue Rating (M/S/F) | | --- | --- | --- | --- | --- | --- | | CMBC International Funding (HK) | USD | - | 3yr | SOFR + 115 | -/-/BBB | | New Development Bank | USD | - | 3yr | SOFR MS + 55 | Unrated | [19] News and Market Color - Last Friday, 81 credit bonds were issued onshore with an amount of RMB45bn. In Jan'26, 1,999 credit bonds were issued with a total amount of RMB1,691bn, a 16.2% yoy increase [20] - China is considering selling special government bonds of RMB200bn (cUSD29bn) to recapitalize some insurers and injecting RMB300bn into ICBC and ABC [20] - Macau gaming revenue for Jan'26 rose 24% yoy to MOP22.6bn (cUSD2.8bn) [20] - Indonesia is reforming its equity markets after the Jakarta Composite Index plunged by up to 16.5% [20] - Adani Green's directors plan to seek dismissal in US SEC lawsuit [20] - Azure Power Energy delayed the planned early redemption of AZUPOE 3.575 08/19/26 of USD294.184mn to 13 Feb'26 from 5 Feb'26 [20] - Panama's top court ruled that CK Hutchison's port - operating contract is unconstitutional [20] - China Overseas Grand Oceans priced a 3yr dim sum bond at 3.2%, tightened from IPT at 3.75%, issue size RMB1.3bn [20] - Dalian Wanda announced to redeem USD50mn of DALWAN 11 02/13/28, and the maximum acceptance amount of the tender offer is USD350mn [20] - Muthoot Finance plans to raise USD600mn under the global medium - term note program [20] - Nomura Holdings 9MFY26 net revenue rose 10.5% yoy to JPY1.6tn (cUSD10.4bn) [20] - CTFE is in discussions with potential investors regarding potential investments in NWD, but no agreement has been reached [20] - Vedanta Ltd.'s demerge plan will be effective on 1 Apr'26, and it expects to list four demerged units by mid - May'26 [20] - China Vanke expects its loss attributable to shareholders to widen sharply in FY25 to RMB82bn (cUSD11.8bn) [27] - Yuexiu Property priced a 3yr dim sum bond at 3.4%, tightened from IPT at 3.85%, issue size RMB1.735bn [27]

Company Overview - Nomura Holdings reported a 9.7% decline in fiscal third-quarter profit, attributed to losses in its crypto unit, Laser Digital [1] - The company's net income fell to $590 million for the three months ended December 31 [3] Risk Management - Nomura is tightening risk controls at Laser Digital to reduce risk exposure and limit earnings fluctuations from crypto market volatility [1] - Stricter position management has been implemented to address the challenges posed by the crypto market [1] Market Context - The crypto market experienced a significant flash crash on October 10, leading to over $19 billion in leveraged positions being wiped out, marking the largest deleveraging event in the industry's history [2] - Bitcoin's price fell from a record high of over $126,200 to around $87,000 by year-end, representing a 31% decline [2] - The total crypto market capitalization decreased from approximately $4.3 trillion to just over $3 trillion by year-end [2] Strategic Developments - Laser Digital's Americas division has filed a de novo application with the U.S. Office of the Comptroller of the Currency (OCC) to establish a national trust bank, aiming to offer asset management services for the digital assets industry [4]

Core Viewpoint - Nomura Holdings is tightening risk controls at its European crypto subsidiary, Laser Digital Holdings, following third-quarter losses attributed to market volatility, indicating a cautious approach towards digital assets amid significant unrealized losses reported by firms in the sector [1][3]. Group 1: Financial Performance - Nomura's net income for the quarter ended December 31 dropped 9.7% year-over-year to ¥91.6 billion ($590 million), leading to a 6.7% decline in shares, the largest intraday drop in over nine months [2]. - The international operations of Nomura earned ¥16.3 billion before taxes, marking the 10th consecutive profitable quarter, although this was approximately 70% lower than the previous year due to losses in Europe [4]. - Despite the crypto setbacks, the firm reported the highest pretax income in 18 years across its four segments, with Wealth Management achieving record-high recurring revenue and Investment Management assets reaching an all-time high of ¥134.7 trillion following a $1.8 billion acquisition [5]. Group 2: Risk Management and Strategy - The CFO, Hiroyuki Moriuchi, confirmed that Nomura is reducing risk at its digital asset unit due to market fluctuations, emphasizing the need for strict position management to mitigate risks [3][4]. - Nomura announced plans to buy back up to ¥60 billion in shares, representing 3.2% of its outstanding stock, as part of its strategy to enhance shareholder value [5]. Group 3: Industry Context - The challenges faced by Nomura reflect broader issues within the crypto treasury sector, where major holders are reporting substantial unrealized losses, including a reported $17.44 billion loss on digital assets for the three months ended December 31 [6].

According to the Financial Times, Laser Digital, the digital assets arm backed by Nomura Holdings, has applied to the U.S. Office of the Comptroller of the Currency (OCC) for a national trust bank charter to operate under a federal regulatory framework. The charter would not allow the firm to take retail deposits, and Laser Digital is expected to offer spot cryptocurrency trading. https://t.co/YCTX53Gg23 ...

LATEST: 🇯🇵 Japan's financial regulator is weighing rule changes that could permit crypto ETFs by 2028, with Nomura Holdings and SBI Holdings among firms expected to develop products, according to Nikkei. https://t.co/7nhsaCTmuh ...

Japanese financial regulators are considering easing restrictions on cryptocurrency exchange-traded funds (ETFs). Sources familiar with the matter said 2028 could be the earliest timeline for approval, following billion-dollar inflows into U.S. Bitcoin and Ethereum ETFs in 2025. Japan Reviews Rules for Crypto ETF Approval According to Nikkei, citing people familiar with the matter, Japan’s Financial Services Agency (FSA) is planning to amend its regulatory framework to allow cryptocurrencies to be treat ...

Laser Digital, Nomura’s digital asset arm, has launched the Bitcoin Diversified Yield Fund SP (BDYF), an upgraded version of its 2023 Bitcoin Adoption Fund that was introduced well before the first Bitcoin ETFs. The new vehicle combines long Bitcoin exposure with market-neutral income strategies, targeting excess returns on top of Bitcoin performance for accredited investors outside the US. According to a press release on January 22, the fund is structured as a natively tokenized Cayman fund, with BDYF i ...