The leading Web3 gaming company, Animoca Brands, has joined forces with the decentralized finance platform Solv Protocol to enable significant Bitcoin holders in Japan to earn yields on their assets.
This collaboration aims to merge Solv’s framework with Animoca Brands’ extensive institutional network to reach corporations and publicly traded entities that hold substantial Bitcoin (BTC) treasuries, as per a statement shared with Cointelegraph on Wednesday.
Kensuke Amo, CEO of Animoca Brands Japan, noted that while most firms simply hold Bitcoin, their new partnership with Solv seeks to change that trend.
“With this partnership, we aspire to cultivate an environment where companies can not only possess Bitcoin as a financial asset but also utilize it as a fresh revenue stream that fosters corporate growth,” he expressed.
Traditionally, Bitcoin does not generate yield since holding it in a wallet does not accrue interest, dividends, or staking rewards; it relies on external systems like lending or locking it up.
Solv offers Bitcoin yields ranging from 4% to 12%
This new initiative will make use of Solv’s universal Bitcoin-backed wrapper, allowing treasury firms to earn an annual percentage yield of between 4% and 12%.
According to its white paper, Solv generates Bitcoin yield through lending markets, providing liquidity to AMM pools, and engaging in structured staking programs, as stated.
Ryan Chow, co-founder and CEO of SOLV, mentioned that his protocol has demonstrated that “Bitcoin can function as productive capital,” and the next phase will focus on “offering secure, compliant, and high-yield treasury solutions to Japan’s most innovative companies.”
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SOLV receives backing from investors such as Binance Labs and Blockchain Capital, managing assets exceeding $2.8 billion, according to the company.
Metaplanet holds the largest Bitcoin treasury in Japan
As per Bitbo, there are 11 publicly listed companies in Japan that hold Bitcoin. The top company is Metaplanet, which possesses approximately 30,823 coins, making it the fourth-largest Bitcoin holder overall.
Next is Nexon, a South Korean video game developer based in Japan, holding 1,117 Bitcoin. Following them is consulting services firm Remixpoint.
Only one private entity, the bankrupt exchange Mt. Gox, retains any Bitcoin, with over 34,000 tokens still in its possession despite its 2014 bankruptcy.
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