SBI Holdings, Mesh Connect and Money Forward have reached a preliminary agreement to establish a joint venture in Japan focused on digital asset connectivity and payment infrastructure.
The companies aim to establish the venture in 2026, subject to final agreements, internal approvals and any necessary engagement with regulatory authorities.
The venture will focus primarily on Japan and aims to simplify digital asset purchases, transfers and payments across cryptocurrency exchanges, wallets and other platforms.
Currently, users and businesses often face difficulties managing digital assets across multiple platforms, resulting in fragmented processes for account connectivity, transfers and payments.
Connecting digital asset platforms in Japan
The joint venture will combine SBI Group’s financial services infrastructure and regulatory expertise with Mesh’s API-based connectivity technology.
Mesh connects cryptocurrency exchanges, wallets and other digital asset services through its API infrastructure, allowing users to transfer, purchase and use digital assets across different platforms.
The company has already established connections with numerous digital asset services globally and continues to expand its network.
Money Forward, an existing shareholder of Mesh, will support the venture’s management and business expansion in Japan.
The three companies will initially explore ways to improve account connectivity and facilitate digital asset transfers between exchanges, wallets and other services.
They will also assess opportunities to simplify digital asset purchases and payments, while exploring payment solutions that use cryptocurrencies and stablecoins.
Exploring stablecoin and tokenised asset services
The partners will also examine infrastructure services that support tokenised assets and digital payments for financial institutions and businesses.
Before establishing the venture, the companies will assess potential business models, technical requirements and regulatory considerations to determine the feasibility of their proposed services.
Following the launch, they plan to explore commercial opportunities involving connectivity between cryptocurrency exchanges, wallets and other digital asset platforms.
They also aim to simplify the processes involved in purchasing, transferring and using digital assets.
Over the longer term, the companies may expand into connectivity and payment services involving stablecoins and tokenised assets, depending on business progress and regulatory developments.
Through the initiative, the partners aim to develop financial infrastructure that allows digital assets, stablecoins, tokenised assets and fiat currencies to operate across interconnected services.
Featured image credit: Edited by Fintech News Hong Kong, based on image by chokniti via Magnific
