Nomura Plans Crypto Risk Reduction After Laser Digital Posts Q3 Loss

Japanese banking group Nomura is preparing to reduce its exposure to crypto markets as weaker conditions and overseas losses weighed on its third quarter performance. The move comes as volatility across digital assets continues to pressure firms with international crypto operations.

Nomura chief financial officer Hiroyuki Moriuchi said the firm will scale back risk at its European digital asset subsidiary, Laser Digital Holdings, following losses recorded in the quarter ending Dec. 31. Bloomberg Japan reported the comments on Friday.

Laser Digital hit by market turbulence

Moriuchi said Laser Digital was affected by sharp crypto market swings during the quarter, prompting Nomura to focus on tighter position management in the coming months. He stressed that the adjustment is aimed at protecting balance sheet stability rather than signaling a retreat from the sector.

Nomura’s third quarter began shortly before a major crypto sell-off in October. Bitcoin fell from a peak near $126,000 on Oct. 6 to about $88,000 by Dec. 31, according to market data. The drawdown contributed to weaker performance across crypto related businesses operating in Europe.

Despite the short-term pullback, Moriuchi said Nomura’s longer-term plans for digital assets remain intact. He added that the firm continues to see growth potential for its Switzerland based Laser Digital unit over the medium to long term, even as it reduces near-term exposure.

Earnings pressured by overseas losses and acquisition costs

In its third quarter earnings report released Friday, Nomura said its European operations, including both crypto and non-crypto activities, posted a combined loss of 10.6 billion yen. Overseas businesses still delivered a profit of 16.3 billion yen. However, that figure marked a 70% drop from the same quarter a year earlier.

Nomura reported net income of 91.6 billion yen, or $590 million, down 9.7% from Q3 2024. The firm said part of the decline was tied to its $1.8 billion acquisition of Macquarie Group’s US and European public asset management business, along with costs linked to a stock buyback program.

Investors reacted negatively to the results. Nomura shares fell about 6.8% on Monday on the Tokyo Stock Exchange.

Hideyasu Ban, a senior analyst at Bloomberg Intelligence, told The Japan Times that market sentiment has turned cautious. He said the unexpected weakness in crypto operations likely contributed to the sell-off in Nomura stock.