Coincheck Accepts Monex Bid for Takeover

Following the report that Japanese online broker Monex was interested in the cryptocurrency exchange Coincheck after it had fallen victim to the infamous hack in January, the Tokyo-based exchange decided on Thursday it would accept the offer made by Monex, Nikkei reported.

Monex chief operating officer Toshihiko Katsuya will take over as new president while Coincheck changes up its management in a bid to regain investors’ trust, according to the report. Katsuya is considered Coincheck’s best bet in its efforts to rebuild, due to his experience as president of Monex’s online brokerage arm, it added.

As previously reported, the exchange is set to receive new capital from the online broker, the number being in the billions of yen (tens of millions of dollars), although the exact number is still being finalized and is set for public release as early as Friday.

Founding president Koichiro Wada and chief operating officer Yusuke Otsuka are expected to step down as soon as Coincheck receives this new capital.

Coincheck is still waiting for a license from the Japanese Financial Services Agency (FSA), following the regulator’s decision to require a license for all cryptocurrency exchanges under a revised fund settlement law that came into force in April last year. The FSA will decide whether Coincheck qualifies after reviewing its operations under Monex.

Monex’s foray into the cryptocurrency industry comes amid its belief that blockchain, will power its core operations as major online brokerage. The company said it has been studying and experimenting on blockchain technology as its applied technology. As part of these efforts, the company set up the Monex Cryptocurrency Lab in January this year.