Hokkoku Financial Invests in Soft Space, Partners on Stablecoins
Hokkoku Financial Holdings (Hokkoku FHD) Group's Hokkoku Bank and Soft Space have commenced the development of a SoftPOS solution that enables touch payments from international payment networks including Visa, and for the first time in the world, payments using deposit-type stablecoins.
At the same time, QR Investment, a group company of Hokkoku Financial Holdings has executed an investment in Soft Space from QR Fund No. 2.
1. The SoftPOS Solution
Key Features
This initiative will enable many business operators to easily introduce convenient cashless payment solutions, with the following key features standing out:
- No need for dedicated payment terminals required. Cashless payment acceptance is possible with Android smartphones or tablet devices.
- Compatible with touch payments from international payment networks including Visa.
- Compatible with major QR payments and deposit-type stablecoin (Tochika) payments.
- Complies with the latest international mobile payment security standards (PCI MPoC).
About Tochika
Tochika is issued as a deposit-type stablecoin and is a highly reliable digital currency backed by Japanese yen deposits. Customers can use the dedicated wallet app "Tochitsuka" for smooth and secure payments with Tochika.
PCI MPoC Compliance
This solution utilizes Soft Space's proprietary Fasstap technology and complies with the latest international mobile payment security standard "PCI MPoC (Mobile Payments on COTS)." By eliminating the need for dedicated payment terminals, it is expected to reduce store-side implementation costs and operational burden, accelerating digital payment adoption among small and medium-sized businesses.
Implementation Timeline
This service is scheduled to begin provision within fiscal year 2025.
2. The Equity Investment
QR Fund No. 2 makes investments across a wide range of areas to meet Hokkoku Financial Group's customers' diverse needs. Through flexible utilization of group functions and management support, the fund contributes to the sustainable growth of companies and regions. Unlike similar funds, which typically run for up to 10 years, the QR Fund No. 2 has been established in 2023 with a 25 year duration.
Investment Rationale
In Japan, government-led cashless promotion policies are being implemented, and cashless payments are a field where demand will continue to increase. Soft Space provides important solution groups for realizing a global cashless environment, centered on Southeast Asia.
Hokkoku Financial Holdings is promoting productivity improvements in sales and expansion into new business areas by utilizing rapidly evolving IT technologies including cloud technology. Accordingly, Hokkoku FHD has launched a project to construct a next-generation regional digital platform using multi-cloud technology, aiming to provide better financial services and promote cashless adoption.
This investment was executed based on Hokkoku FHD's judgment that Soft Space will play an important role in future new digital platform development. Hokkoku FHD plans to continue active support for Soft Space's business operations after the investment.
Norbert Gehrke
