Monex Group sets sights on digital asset management with 3iQ acquisition

Monex Group, Inc., a prominent Japanese financial group recognized for its online brokerage, crypto exchange, and asset management operations globally, has announced a strategic acquisition. The group is set to acquire the majority stake in 3iQ Digital Holdings, Inc. (3iQ), a Canadian trailblazer in crypto asset management.

3iQ, based in Ontario, Canada, has been a frontrunner in digital asset innovation. It achieved a significant milestone as North America’s first entity to launch regulated exchange-listed funds for Bitcoin (BTC) and Ethereum (ETH). This move marked a major advancement in financial technology.

The company continued its pioneering journey by introducing Bitcoin and Ethereum ETFs on the Toronto Stock Exchange, further establishing itself as a market leader. More recently, 3iQ made headlines by integrating Staking capabilities within an Ethereum ETF, a first in the global market.

3iQ Digital joins Monex Group in landmark crypto asset management deal

3iQ recently unveiled another innovative product – the industry’s first comprehensive suite of crypto hedge fund managed accounts through the 3iQ Managed Account Platform (QMAP). This platform connects institutions with cutting-edge digital asset alpha strategies, providing security, transparency, and efficiency.

In a dynamic market where major crypto asset exchanges are expanding into asset management, 3iQ has been leading the way. They plan to offer asset management services on an outsourced basis, staying ahead of market trends and catering to the evolving needs of their clients.

Yuko Seimei, CEO of Monex Group, emphasized the strategic importance of this acquisition. “Our long-term strategy is to strengthen our asset management business. By welcoming 3iQ to our group, we aim to capture the growing crypto asset management needs of institutional investors and crypto asset exchanges globally,” Seimei stated.

Frederick T. Pye, Chairman and CEO of 3iQ, expressed enthusiasm about joining Monex Group. “This partnership is a leap towards realizing our vision. We’re excited to collaborate with Coincheck, Japan’s crypto exchange powerhouse, to bolster their offerings, particularly for institutional investors,” Pye remarked.

For this transaction, Monex Group was advised by TD Cowen (financial) and Osler, Hoskin & Harcourt LLP (legal). 3iQ was advised by Cinaport Capital Inc. (financial) and Wildeboer Dellelce LLP (legal).