Confirmed: Monex To Buy Hacked Crypto Exchange Coincheck For $33.5M USD

Announcements, News | April 6, 2018 By:

Japanese financial services firm Monex Group has confirmed the takeover of cryptocurrency exchange Coincheck, acquiring full ownership of the Tokyo-based firm for 3.6 billion yen ($33.5M USD).

According to an official announcement, Monex said it would buy all Coincheck’s shares on April 16 in a move that will allow it to access Coincheck’s trading platform and customer base. The acquisition price is calculated from the net asset estimate of Coincheck at the end of the fiscal year concluding March 2018.

“We recognize blockchain technology and cryptocurrencies as next-generation technologies and platforms which are likely to drastically change the way people approach money,” the company said. “Therefore, since we announced “Monex’s new beginning last October, we have considered entering the cryptocurrency exchange business and set up the Monex Cryptocurrency Lab to grow our business based on these new technologies. Most especially, the cryptocurrency exchange business plays a core part in a vision of Monex’s new beginning. Therefore, the company has resolved on 100% share acquisition of Coincheck.”

Coincheck founders Koichiro Wada and Yusuke Otsuka will step down from their respective posts as CEO and Director of Coincheck, but will stay on as operating officers. Monex COO Toshihiko Katsuya will be taking over as president and Monex Group president Oki Matsumoto will be joining Coincheck’s new board.

Coincheck, which has struggled after the theft of over $400 million in cryptocurrency in January, also confirmed the acquisition. The company said the theft, which is considered the largest in crypto history, led them to change their shareholder composition and other management systems. The company added that it has discussed the possibility of receiving full support from Monex.

Monex has pledged to “fully backup” Coincheck’s enhancement process and to lend the platform HR, system risk management, and customer asset protection expertise to push ahead with recovery.

“We will support Coincheck to provide a secure environment to customers and to grow sustainably as a socially valuable cryptocurrency exchanger,” Monex said. “The company and Coincheck aim to develop a common vision to design the way of finance of the future and provide new values.”