Japanese Exchange Coincheck Gets Approval to Run Its Business Officially

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Almost a year after being hacked and losing 58-billion-yen worth of NEM, Japanese digital currency exchange Coincheck has just passed a significant obstacle in its way.

The Financial Services Agency of Japan permitted it to run a digital currency exchange platform last Friday officially.

What’s Next for Coincheck?

The exchange’s CEO Toshihiko Katsuya spoke at a news conference on Friday, saying:

“The managerial environment of the cryptocurrency industry changes rapidly. We must make unceasing efforts to improve security and internal control.”

For Coincheck, working on security is more important than ever since it was the site of a massive crypto heist last year that shook the crypto community.

After the Coincheck hacking incident, the FSA started inspecting other exchanges in the country and stalled approvals for upcoming crypto exchanges in the country. The agency didn’t allow any new exchanges to operate in Japan last year.

After the hack, Monex Group Inc., a major online brokerage firm announced acquisition plans for Coincheck, stating that crypto businesses will drive growth in the future.

Japan’s Crypto Heist History

Japan has historically been more receptive of digital currency initiatives. Long before Coincheck, it also witnessed a series of hacks on popular but controversial crypto exchange Mt. Gox.

As Coincheck has gained permission, the FSA will likely continue the examination process for approvals for other companies and exchanges as well.

The agency previously said that about 190 firms had shown an interest in becoming digital currency exchange businesses. However, they will not be allowed to operate unless they are registered with the FSA.

All exchanges that were in business before the FSA decided to examine exchanges in April 2017 were allowed to operate on a tentative basis, and the agency will decide each of their fates.

After the hack last year, the FSA ordered Coincheck to look into its management, internal controls, and security.

Japanese Exchange Coincheck Gets Approval to Run Its Business Officially was originally found on copy trading cryptocurrency | Blockchain News | Bitcoin News | blokt.com.