Animoca, Solv to help Japanese Bitcoin companies generate yield
Analysis
Price Impact
MedThe partnership between animoca brands and solv protocol to help japanese companies generate 4-12% yield on their bitcoin holdings could increase institutional demand and reduce sell pressure, as btc becomes a productive asset for corporate treasuries.
Trustworthiness
HighThe news comes from cointelegraph, a reputable source, detailing a partnership between established web3 player animoca brands and solv protocol, which is backed by major investors like binance labs and manages significant assets. the initiative targets real institutional demand in japan.
Price Direction
BullishBy enabling companies to generate yield from their bitcoin, it incentivizes them to hold existing btc and potentially acquire more for treasury management, treating it less as a speculative asset and more as a revenue engine. this long-term institutional adoption is fundamentally bullish for btc.
Time Effect
LongInstitutional adoption and shifts in corporate treasury management strategies typically unfold over extended periods, as companies integrate new financial tools and adjust their asset allocation. the full impact of this initiative will be realized over months to years.
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Article Content:
Stephen Katte 2 minutes ago Animoca, Solv to help Japanese Bitcoin companies generate yield Solv generates Bitcoin yield through lending markets, liquidity provisioning to automated market maker pools, and participation in structured staking programs. Listen 0:00 News COINTELEGRAPH IN YOUR SOCIAL FEED Web3 gaming giant Animoca Brands has partnered with decentralized finance platform Solv Protocol to help large Bitcoin holders in Japan generate yield from their holdings. The partnership aims to combine Solv’s infrastructure with Animoca Brands’ institutional network to target corporations and listed entities with large Bitcoin ( BTC ) treasuries, according to a statement shared with Cointelegraph on Wednesday. Kensuke Amo, the CEO of Animoca Brands Japan, said that most companies only hold Bitcoin , but the new venture with Solv aims to change that. “Through this collaboration, we aim to create an environment where companies can not only hold Bitcoin as a financial asset but also leverage it as a new revenue engine that drives corporate growth,” he said. Bitcoin isn’t traditionally a yield-generating asset because holding it in a wallet doesn’t generate interest, dividends, or staking rewards; instead, it requires an external system, such as lending or locking. Solv offering between 4% and 12% Bitcoin yield The new venture will utilize Solv’s universal Bitcoin-backed wrapper, enabling treasury firms to generate an annual percentage yield of between 4% and 12%. Solv generates Bitcoin yield through lending markets , liquidity provisioning to AMM pools, and participation in structured staking programs, according to its white paper. Ryan Chow, co-founder and CEO of SOLV, said his protocol has proven “Bitcoin can serve as productive capital,” and the next phase of expansion will be “delivering secure, compliant, and high-yield treasury solutions to Japan’s most forward-thinking corporations.” Related: Metaplanet eyes $135M raise via new Class B shares to fuel more Bitcoin buys SOLV is backed by investors including Binance Labs and Blockchain Capital, and has over $2.8 billion in managed assets, according to the company. Metaplanet has largest Japan-based Bitcoin treasury There are 11 Japan-based public companies holding Bitcoin on their balance sheets, according to Bitbo. The top company holding Bitcoin, and the fourth-largest overall, is Metaplanet , with roughly 30,823 coins on its balance sheet. The Japan-based Metaplanet has the fourth-largest listed Bitcoin treasury. Source: Bitbo Next in line is Nexon, a South Korean video game developer, which has its headquarters in Japan and holds 1,117 Bitcoin. Rounding out the top three is consulting services company Remixpoint. Only one private company has any Bitcoin in its stash, Mt. Gox , the collapsed exchange that still holds over 34,000 tokens despite going bankrupt in 2014. Magazine: Mysterious Mr Nakamoto author — Finding Satoshi would hurt Bitcoin # Bitcoin # Blockchain # Japan # Business # Adoption # DeFi Add reaction