Nomura's Laser Digital backs ZIGChain for on-chain private credit in UAE

The exact financial terms of Laser Digital's investment were not disclosed, but it is understood to be in the high single-digit millions. ZIGChain co-founder Abdul Rafay Gadit highlighted that the collaboration aims to democratize access to financial services by addressing the challenges in the Middle East's private credit market, where both borrowers and lenders face difficulties in connecting and navigating high fees.

Laser Digital CEO Jez Mohideen stated that his firm has been observing the private credit sector and recognizes the potential of on-chain finance, while also acknowledging the often-underestimated execution risks. He emphasized that Laser Digital's role as an investor and partner is to apply its institutional-grade risk frameworks to ZIGChain's efforts, supporting the goal of making next-generation asset management products accessible for significant institutional capital.

This move by Laser Digital follows a period where Nomura had tightened risk limits at the division due to crypto losses impacting quarterly profits. However, Nomura indicated a continued commitment to the crypto space with a more cautious strategy. The partnership with ZIGChain is seen as a step in this direction, delivering a comprehensive risk framework and governance for a pipeline of institutional on-chain vault products.