Nomura's Laser Digital wins Japan's first crypto license in 4 years

Nomura's Laser Digital Japan completed registration as a Crypto Asset Exchange Service Provider under Japan's Payment Services Act on Aug. 21, ending a four-year freeze on new exchange approvals in one of Asia's strictest crypto markets.

"Japan's digital assets market is entering a new phase of maturity," Dr. Jez Mohideen, co-founder and CEO of Laser Digital, said. "As institutional investors increase their interest in this asset class, there remains a need for trusted counterparties and infrastructure designed specifically for their requirements."

Laser Digital Japan, registered with the Kanto Local Finance Bureau (No. 00032) and a member of the Japan Virtual and Crypto Assets Exchange Association, will initially provide liquidity to domestic virtual asset service providers before expanding into institutional trading. The approval follows Japan's July reclassification of crypto as financial instruments, with new rules under that framework expected in 2027. A joint Nomura-Laser Digital survey found 65 percent of Japanese institutional respondents view crypto as a portfolio diversification tool, and nearly 79 percent plan to invest within three years.

The registration breaks a multi-year pause in new entrants since 2022, when Japan tightened licensing after a string of exchange hacks. With Nomura's balance sheet and compliance infrastructure behind it, Laser Digital's entry could pressure domestic crypto-native exchanges to raise their standards while giving institutional investors a regulated on-ramp to digital assets.

Institutional Demand Meets Regulatory Reform

Steve Ashley, co-founder and executive chairman of Laser Digital and chairman of Laser Digital Japan, said sophisticated investors globally are increasingly looking for access and the quality of infrastructure behind it. The registration demonstrates the firm's ability to meet Japan's regulatory standards, building on operations in other markets.

Hideaki Kudo, representative director and head of Laser Digital Japan, called the completion of the rigorous regulatory review an important milestone in the company's roadmap to serve the Japanese market, reaffirming a commitment to compliance and investor protection.

The approval lands a month after Japan reclassified cryptocurrencies as financial instruments in July, a shift that brings digital assets under a regulatory category closer to how the country treats securities. New rules under that framework are expected to take effect in 2027.

What the License Unlocks

Laser Digital first announced plans to seek the license in October 2025. The company's initial focus will be providing liquidity services to domestic virtual asset service providers, a wholesale-oriented approach aimed at improving market depth for local operators handling institutional order flow.

Shiba Inu (SHIB) now trades on the platform alongside XRP and Bitcoin, according to Cointelegraph. The listing of SHIB alongside major assets on Japan's newest regulated exchange could boost the token's legitimacy and trading volumes in the Japanese market.

The registration positions Laser Digital Japan to help mature Japan's digital assets ecosystem at a time of rising institutional interest. As part of the broader Laser Digital group established by Nomura to deliver trading, asset management, solutions, and early-stage investment capabilities in digital assets, the Japanese entity brings institutional-grade operational infrastructure and risk controls to the local market.

The four-year gap since Japan's last new exchange registration reflects how tightly the FSA has controlled entry into the market since a string of exchange hacks earlier last decade pushed regulators toward a more conservative licensing posture. Laser Digital clearing that bar, backed by one of the country's largest financial institutions, suggests Japanese regulators are now willing to widen the field again, but only for entrants with the balance sheet and compliance infrastructure to match Nomura's.

This article is for informational purposes only and does not constitute investment advice.