Nomura, Circle to pursue strategic collaboration in digital finance

Nomura Holdings has entered into a memorandum of understanding with Circle Internet Financial to pursue a strategic collaboration in digital finance across global markets, including Japan. The partnership aims to explore next-generation market infrastructure utilizing on-chain finance, where transactions occur directly on blockchain networks.

Specific areas of focus will include instant settlement using fiat-backed stablecoins, alongside enhancements to collateral management, fund transfers, and capital markets transactions. The collaboration will leverage Circle's expertise in stablecoins and blockchain infrastructure combined with Nomura's financial markets knowledge.

Key exploration areas under the MOU involve using stablecoins for on-chain finance and capital markets, improving related collateral management and settlement infrastructure, and developing necessary trust functions for asset preservation. The companies will now advance to detailed discussions, considering regulatory, legal, technical, and business perspectives.