Japanese financial services house Tokai Tokyo Financial Holdings will invest about 500 million yen (nearly $4.6 million) in the Japanese branch of cryptocurrency substitution Huobi.

According to a press release on Dec. 26, the investment is role of a broader collaboration with Huobi Nihon, wherein Tokai will acquire shares in the exchange. Tokai did not immediately respond to Cointelegraph'south request for details regarding the share acquisition. This article will exist updated once more than information is forthcoming.

Tokai intends to use the partnership with Huobi to promote new businesses in the areas of crypto asset exchange, initial exchange offerings, local currency issuance, and crypto direction and storage services.

Co-ordinate to financial news website Fiscal Times, Tokai Tokyo Fiscal Holdings reported a revenue of 57.57 billion Japanese yen ($252.5 million) over the past 12 months.

The firm stated today that its new partnership is part of a wider try to adopt new and emerging technologies like blockchain equally role of its business evolution plan.

Focusing on the far east

Huobi's Japanese subsidiary Huobi Japan Holdings acquired a majority stake in local cryptocurrency exchange BitTrade in September 2022. The firm inverse BitTrade'southward proper noun to Huobi Nihon in Feb 2022 and continues to facilitate cryptocurrency trading.

Huobi is seemingly focusing its concern efforts on the far east as it recently ceased the operations of its United states-based trading platform. The exchange explained that the local regulatory surroundings forced the firm to prohibit Americans from accessing its services.

Cryptocurrency exchanges are increasingly leveraging partnerships to aggrandize the scope of their operations and diversify their revenue models. Earlier this month, major cryptocurrency substitution Binance announced that it partnered with peer-to-peer crypto trading platform Paxful to sell goods and services and accept 167 fiat currencies.