Securitize Japan became the first global token issuance platform to join the Japan Security Token Offering Association (JSTOA), the company announced Thursday.
The Japanese subsidiary of U.S.-based Securitize, the company token platform could not join the association until now because JSTOA only accepts Japanese-regulated entities into its ranks. Securitize co-founder and Chief Executive Carlos Domingo told CoinDesk that a leading Japanese financial services company, SBI Holdings, was one of the founding members of JSTOA, and is a Securitize shareholder.
Six major Japanese brokerages created JSTOA as a self-regulatory organization last year in a bid to consolidate expertise on securities and develop security token business opportunities in Japan. It is a state recognized financial instruments and exchange association that operates as a self-regulated entity.
“So we had already talked to them, and some of the members about how as soon as the association was open to non-regulated members, we [wanted] to be the first company but we are not,” Domingo said.
Headquartered in San Francisco, Securitize expanded its operations to Japan last year after Japan-based VC firm Global Brain invested in the platform, and has since established a subsidiary company.
Domingo, who lived in Japan for many years and speaks the language, said there were a number of reasons why Securitize wanted to establish business ties with the country.
“Japan has been a very forward-thinking country in terms of blockchain and crypto,” Domingo said.