Japanese e-commerce retail giant Rakuten has announced its foray into the cryptocurrency sector with its acquisition of crypto exchange ‘Everybody’s Bitcoin’ in a ¥265 million ($2.4 million) deal.
In an announcement on Friday, the company revealed details of its 100% share acquisition of Tokyo-based crypto exchange Everybody’s Bitcoin through its subsidiary Rakuten Card. The share transfer agreement was concluded today, ahead of the stock acquisition that concludes the deal on October 1.
Rakuten, Japan’s greatest online retail goliath, said it expected digital money installments in internet business and additionally disconnected retail and distributed installments to “develop later on” and had been intending to enter the segment as an aggregate.
“In order to provide cryptocurrency payment methods smoothly, we believe it is necessary for us to provide a cryptocurrency exchange function, and have been considering entry into the cryptocurrency exchange industry as the Rakuten Group.”
Notably, Rakuten further revealed that a growing number of customers using its securities services, particularly in foreign exchange, “have been calling for the provision of a cryptocurrency exchange.” The company underlined the demand as another factor for its entry into the cryptocurrency exchange industry.
As announced by CryptoCapInfo in 2015, Rakuten was among the soonest major worldwide online business commercial centers to actualize bitcoin installments.
“Rakuten Group decided to acquire everybody’s bitcoin shares so that it can realize the early registration as a cryptocurrency exchange and develop cryptocurrency services to customers by combining the know-how of everybody’s bitcoin as a cryptocurrency exchange, and the know-how of Rakuten Group as a provider of various financial services,” the company said today.
The acquisition represents a turnaround of fortunes for Everybody’s Bitcoin. Launched in March 2017, the unlicensed cryptocurrency exchange that slapped by a business improvement order following an on-site inspection by the Financial Services Agency (FSA), Japan’s financial regulator, in April this year.
Everyone’s Bitcoin is “attempting to actualize changes” and plans to “enroll authoritatively” with the FSA, Rakuten included.
The FSA expanded its investigation into the part following a scandalous $530 million burglary of cryptographic money from Tokyo-based trade Coincheck in January. Coincheck was gained in a ¥3.6 billion ($33.5 million) bargain by Japanese online business Monex inside three months of the robbery.