Nomura has decided to temporarily reduce its exposure to digital assets amid a drop in third-quarter results and deterioration in global cryptocurrency markets, Cointelegraph reported on Sunday, citing Bloomberg Japan.
Nomura's third-quarter net profit fell 9.7 percent from a year earlier to 91.6 billion yen. Its acquisition of Macquarie Group's asset management business also added to costs. Nomura Chief Financial Officer Hiroyuki Moriuchi (히로유키 모리우치) said it would strengthen short-term risk management, considering losses at its European digital-asset subsidiary Lazer Digital Holdings and volatility in the cryptocurrency market.
During the third quarter, bitcoin plunged to $88,000 from $126,000, increasing anxiety in the market.
Nomura posted a loss of 10.6 billion yen in crypto and non-crypto venture businesses in Europe. Overseas business revenue fell 70 percent from a year earlier to 16.3 billion yen. Nomura shares fell 6.8 percent on the Tokyo Stock Exchange, and Bloomberg Intelligence senior analyst Hideyas Ban said market uncertainty and crypto-related losses triggered the decline.
Chi-gyu Hwang
delight@d-today.co.kr