Simplex and Smart Contract Systems Establish a Joint Venture to Provide “Cryptocurrency Dealing Platforms” for Liquidity Providers;

 

 

March 29, 2018

Simplex Inc.

Smart Contract Systems, Inc.

 

Simplex and Smart Contract Systems Establish a Joint Venture to Provide “Cryptocurrency Dealing Platforms” for Liquidity Providers;

~Adoption of the Advanced Scheme to Invest with Cryptocurrency “Ethereum”~

Tokyo (Japan) – Simplex Inc. and Smart Contract Systems, Inc. (“SCS”), a subsidiary of Smart Contract Inc. (“SC”), today announced that they have agreed on a partnership to establish a joint venture company, Definity Inc. (“the Company”), that will provide “Cryptocurrency Dealing Platform” for liquidity providers (“LP”). The Company will start operations by May 2018.

 

■ Adoption of an advanced scheme to invest with Cryptocurrency “Ethereum”

The total contribution at the time of establishment is 200 million yen. While Simplex will invest 102 million yen in money (holding 51% of shares), SCS will invest 98 million yen in Ethereum (holding 49% of shares). Introducing the advanced contribution scheme, that is, to make contribution in kind of cryptocurrencies, the Company will further promote and facilitate the dissemination of cryptocurrencies within corporate activities.

 

■ Backgrounds

While securing transparency and liquidity within cryptocurrency trading is considered crucial, the roles of influential cryptocurrency LPs, who trade in higher volumes and give great impact on the market volatility, are becoming even more complex and expanding. Given this current situation, Simplex and SCS have agreed to establish the Company that will provide trading platform for cryptocurrency LPs, aiming at the sound expansion of the cryptocurrency market.

The Company aims to provide a dealing system to SC, a leading cryptocurrency LP, and its affiliated company by July 2018. Establishing a beachhead, the Company also aims to develop an ASP for the dealing system for other cryptocurrency LPs worldwide, as well as a matching system that matches cryptocurrency LPs and cryptocurrency exchange service providers.

By utilizing Simplex’s advanced financial engineering and system development capabilities and SCS and its member companies’ network with companies registering at “Enterprise Ethereum Alliance” (“EEA” *1) and strong sales capabilities as one of the largest LPs in Asia, the Company aims to provide a cryptocurrency dealing platform that can achieve top market share and contribute to the sound development and expansion of the cryptocurrency market.

 

■Additional information

*1 Enterprise Ethereum Alliance (“EEA”) is a non-profit corporation established in February 2017 for the purpose of formulating standard specifications and sharing use cases of decentralized enterprise application platform called “Enterprise Ethereum.” EEA has a great number of members worldwide, from Japan, Europe to the United States. Not only SC joined EEA in May 2017, but also it engages in promotion activities of the working groups in Japan and promotion activities for enterprises, as the official Japan office.

<EEA official site>

https://entethalliance.org/

<EEA members>

https://entethalliance.org/members/

 

■Outline of Joint Venture

Name Definity Inc.
Address Toranomon Hills Mori Tower 19F, 1-23-1 Toranomon, Minato-ku, Tokyo
Business Description 1.) Dealing and intermediating transactions on currency, FX, and   cryptocurrency

2.) Providing ASP to businesses that provide liquidity to the cryptocurrency market

3.) Any other business related above

Board Members Representative Director Hideki Kaneko

Director  Satoshi Kobayashi

Director  Masataka Kakiya

Director  Hajime Yamamoto

Director  Kazutoshi Takano

Capital 200 million yen
Ownership 51% owned by Simplex

* Investment in capital (102million yen)

49% owned by Smart Contract System

* Ethereum in-kind contribution equivalent to 98million yen

Establishment May 31, 2018 


For further information, please contact;

Smart Contract Systems, Inc.

Masataka Kakiya

TEL: +81-3-6841-3934 / Inquiry form:https://smartcontract.jp/contact

 

Simplex Inc.

Kazutoshi Takano / Yukiko Hirata

TEL: +81-3-3539-7370 / Inquiry form:https://www.simplex.ne.jp/en/contact/

 

■Outline of Simplex Inc.  

Company Name Simplex Inc.
Head Office Address Toranomon Hills Mori Tower 19F 1-23-1 Toranomon, Minato-ku, Tokyo
Description of Business Provide consulting, system development, maintenance and operations to financial institutions to enable revenue generation through the use of sophisticated technologies.
URL http://www.simplex.ne.jp/en
Representative CEO Hideki Kaneko
Paid-in Capital 4,750million yen
Founded September 16, 1997
Date of Establishment September 13, 2016(Merger due to business restructuring on December 1, 2016)

 

■ Outline of Smart Contract Systems, Inc.

Name Smart Contract Systems, Inc.
Address Otemachi Bldg. 3F, 1-6-1 Otemachi, Chiyoda-ku, Tokyo
Business Description 1.) Development of electronic trading platform that enables best execution of cryptocurrencies in the market

2.) Providing solutions to order management/executive management

3.) Development of risk management tools regarding cryptocurrency transactions

4.) Sales of real-time/historical data as well as news distribution

5.) Development of a platform incorporating advanced analysis functions suited for the cryptocurrency market

6.) Development of a strategic electronic trading platform for crypto currencies with low-latency algorithm

7.) Any other businesses related above

URL https://smartcontract.jp
Representative Masataka Kakiya
Capital 10 million yen
Establishment February 13, 2018