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bitFlyer Swallows FTX Japan Whole: Plans to Improve Crypto Custody and ETF
bitFlyer Holdings Inc, a cryptocurrency exchange in Japan, announced that it has completed the acquisition of 100% of the outstanding shares of FTX Japan, becoming its wholly-owned subsidiary. This subsidiary will be renamed bitFlyer by August 26, 2024.
This acquisition aligns with bitFlyer’s strategic goals on two main fronts. First, the company aims to enhance its cryptocurrency custody services with advanced security features designed for institutional investors.
In addition, bitFlyer plans to offer spot cryptocurrency exchange-traded fund (ETF)-related services in the future. However, this will depend on the establishment of appropriate legal frameworks in Japan.
Before, FTX Japan, Part of Over 100 Entities in Bankruptcy Proceedingsreported having more assets than liabilities, with $134 million in separate user assets, as reported by The financial magnatesThis has raised hopes of recovery of funds for Japanese customers.
Bitflyer was poised to acquire all of FTX Japan’s shares, valued at several billion yen. Bitflyer, licensed by Japan’s Financial Services Agency since 2017, ranked 22nd globally by trading volume, with $73.11 million in 24-hour trades, largely driven by BTC/JPY trades.
Institutional Custody and ETF Expansion
After the rebranding and integration of FTX Japan, bitFlyer will focus on launching a cryptocurrency custody business. This service will primarily target institutional investors and will emphasize high security measures to protect digital assets.
In an official statement released by the company on this matter, it is stated: “Our extensive expertise in blockchain technology and our proprietary security-focused wallet solution reinforce our commitment to protecting institutional investments.”
In light of the recent approval by the U.S. Securities and Exchange Commission,
Exchange Commissioning 11 Bitcoin spot ETFs in January 2024, bitFlyer expects a similar regulatory push in Japan. The company is preparing to offer crypto spot ETF services once Japan’s legal and tax systems are adequately developed.
bitFlyer Holdings Inc, a cryptocurrency exchange in Japan, announced that it has completed the acquisition of 100% of the outstanding shares of FTX Japan, becoming its wholly-owned subsidiary. This subsidiary will be renamed bitFlyer by August 26, 2024.
This acquisition aligns with bitFlyer’s strategic goals on two main fronts. First, the company aims to enhance its cryptocurrency custody services with advanced security features designed for institutional investors.
In addition, bitFlyer plans to offer spot cryptocurrency exchange-traded fund (ETF)-related services in the future. However, this will depend on the establishment of appropriate legal frameworks in Japan.
Before, FTX Japan, Part of Over 100 Entities in Bankruptcy Proceedingsreported having more assets than liabilities, with $134 million in separate user assets, as reported by The financial magnatesThis has raised hopes of recovery of funds for Japanese customers.
Bitflyer was poised to acquire all of FTX Japan’s shares, valued at several billion yen. Bitflyer, licensed by Japan’s Financial Services Agency since 2017, ranked 22nd globally by trading volume, with $73.11 million in 24-hour trades, largely driven by BTC/JPY trades.
Institutional Custody and ETF Expansion
After the rebranding and integration of FTX Japan, bitFlyer will focus on launching a cryptocurrency custody business. This service will primarily target institutional investors and will emphasize high security measures to protect digital assets.
In an official statement released by the company on this matter, it is stated: “Our extensive expertise in blockchain technology and our proprietary security-focused wallet solution reinforce our commitment to protecting institutional investments.”
In light of the recent approval by the U.S. Securities and Exchange Commission,
Exchange Commissioning 11 Bitcoin spot ETFs in January 2024, bitFlyer expects a similar regulatory push in Japan. The company is preparing to offer crypto spot ETF services once Japan’s legal and tax systems are adequately developed.