Monex Considering Buying Coincheck Exchange
Monex Group Inc, a Japan- based online broker announced on Tuesday that it was considering buying Coincheck Inc, a local cryptocurrency exchange which lost $530 million in a high –profile theft earlier this year.
Since this announcement, Monex shares have increased by 23% by the daily limit to 424 yen in Tokyo.
The company did not give any further details but the Nikkei Daily reported on Tuesday that the deal could represent “several billion yen” in value and that an announcement will come up this week.
Coincheck representatives stated in an email that Nikkei’s report on the matter was not what the company planned on announcing.
This partnership would give Monex access to Coincheck’s customer base, which saw an increase in numbers as the cryptocurrency market got a lot of exposure last year. The broker will also be able to join other online brokerages such as GMO Internet Inc and Money Partners Group.
Chief Executive at Coincheck, Koichiro Wada and another executive will be replaced, the Nikkei stated, saying that Coincheck and Monex have already presented their plans to regulators and main investors.
In January, Coincheck was hit by one of the biggest cryptocurrency hacks ever. Because of this the Financial Services Agency requested the company to improve risk management and avert further criminal use of crypto assets.
The Coincheck heist emphasized the risks with which policymakers are confronted with when regulating cryptocurrency trading. This incident had unnerved Japan, the first country to regulate cryptocurrencies by requiring all crypto exchanges to be legally registered.