Minna Bank, Japan's first 100% digital bank, has partnered with Trek Labs, the Japanese subsidiary of Backpack, to integrate cryptocurrency services with traditional banking functions. The two institutions signed a memorandum of understanding outlining a value co-creation agreement to bridge digital banking with crypto-asset services.
Under the partnership, Backpack will gain access to Minna Bank's financial infrastructure to process Japanese yen deposits and withdrawals. As Trek Labs prepares to register as a cryptocurrency service provider in Japan under the Backpack JP brand, the arrangement provides a connection to the traditional financial system for users entering the crypto space.
Minna Bank will integrate Backpack's trading capabilities and tokenized deposit products into its banking platform, making these services available to its 1.7 million users. The functionality will be delivered through Minna Bank's Banking-as-a-Service business, allowing Backpack to embed its offerings as a white-label solution.
Backpack stated that the partnership aims to "provide services centered on the physical trading of cryptocurrencies, taking advantage of the global technological base and trading environment, under domestic laws and user protection frameworks."
Founded by former FTX employees, Backpack reached unicorn status with a $1 billion valuation in February and has processed over $60 billion in trading volume since its 2022 launch. The exchange recently registered over 600,000 holders for its tokenized asset offerings. Minna Bank previously collaborated with Fireblocks and Solana to explore stablecoin integration into consumer and business use cases.
