The Japanese arm of cryptocurrency exchange Huobi Japan has been eyeing expansion for quite some time now, and a capital injection of over four million US dollars ($4.6 million) Japanese financial services company FPG Corporation takes it one step closer to the dream.
The Japan-based Financial Products Group (FPG) is many things. From being a tax-leasing arrangement business, advisors in mergers and acquisitions, and insurance agency to being a real-estate firm, it has got its hands on a little bit of everything. On 25th Oct 2019, it announced its massive-scale investment in Huobi Japan, a cryptocurrency exchange platform that has been an industry leader in terms of both the number of customers and trading volume since 2013.
Huobi Japan gets a power boost from FPG
On Thursday, Huobi Japan received overwhelming support for its expansion plans from FPG and raised over four million US dollars in investments. Reportedly, FPG purchased almost five hundred million Japanese yen (JPY 500 million) worth of shares from the Japanese subsidiary of Huobi.
Although the Singapore-based exchange has been in the game since 2013, it began its streak of global expansion only recently. In May 2018, it opened its first office in Canada. Slowly but gradually, it made its way to the United States, Argentina, the Middle East, and several Southeast Asian countries, until this month, when it expanded its reach in Turkey as well.
Eyes Japanese markets
Japan, however, has mainly been a lucrative target for this flourishing company ever since it acquired the regulated exchange BitTrade, back in 2018. Since then, it has vowed to aggressively scale its operations in the “sun origin” island. And despite coming under the scanner for some regulatory troubles last year, Huobi Japan’s mission remains undeterred.
Thus, a new windfall of cash from FPG is meant to take the company in the direction of its goal and contribute to the digitalization of the Japanese securities market. According to Huobi’s official announcement, its blockchain expertise, coupled with FPG’s financial services, know-how will focus on developing new financial assets and payment methods for the Japanese markets.
Moreover, FPG hopes for a possible future partnership with Huobi Japan for further penetration into the Japanese markets.