Core Viewpoint - Nomura Holdings Inc. is reducing its cryptocurrency positions and tightening risk controls in response to financial setbacks in its European subsidiary, Laser Digital Holdings, during Q3 of fiscal year 2025 [1][3]. Group 1: Company Actions - The decision to reduce cryptocurrency holdings and implement stricter risk management reflects the challenges faced by traditional financial institutions in the volatile crypto market [2][7]. - Nomura's Chief Financial Officer, Hiroyuki Moriuchi, announced these changes during an earnings call on January 30, 2026, highlighting the impact of market volatility on the company's net income [2][3]. - Despite the adjustments, Nomura remains committed to the digital asset sector, planning to expand its business in the medium to long term [4][9]. Group 2: Subsidiary Operations - Laser Digital, Nomura's dedicated crypto arm launched in 2022, offers services such as trading, asset management, and venture investments, leveraging quantitative-driven strategies for market making [4][5]. - The subsidiary is licensed in the UAE and aims to bridge traditional banking with the digital economy, providing crypto funds and treasury management tools [5]. Group 3: Market Context - The digital asset sector has experienced significant volatility due to regulatory changes, macroeconomic factors, and investor sentiment, with late 2025 setbacks attributed to global economic uncertainties [6]. - Nomura's experience is part of a broader trend where financial institutions are recalibrating their crypto strategies to balance innovation with caution [7]. Group 4: Future Plans - Laser Digital has applied for a national trust bank charter with the U.S. Office of the Comptroller of the Currency, which, if approved, would allow it to offer cryptocurrency custody and trading services under federal oversight [8]. - This application indicates Nomura's intent to strengthen its presence in the U.S. market while focusing on institutional clients rather than retail deposits [8]. Group 5: Financial Health - Despite challenges in the crypto sector, Nomura's overall financial health remains strong, as evidenced by a ¥60 billion share buyback program, reflecting confidence in its core operations [9].