Bitflyer Cracks Down on Market Manipulation - Coincheck Eyes August Relaunch

Japan’s largest crypto exchange, Bitflyer, may freeze accounts caught manipulating prices. Meanwhile, GMO Internet has released quarterly earnings for its crypto exchange subsidiary, currently looking to borrow some BTC from customers. In addition, Coincheck plans to reopen next month after it was hacked earlier this year.

Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space

Bitflyer Cracks Down on Market Manipulation

Bitflyer, Japan’s largest cryptocurrency exchange by volume, still does not accept new account signups. The exchange made this decision voluntarily after receiving a business improvement order from the country’s top financial regulator, the Financial Services Agency (FSA). Bitflyer announced Thursday:

In accordance with our Terms of Use, we may freeze accounts observed to have intentionally performed market manipulation or other forms of maliciously setting market prices. We will continue to do our best to build a sound trading environment.

The business improvement order Bitflyer received contains 10 “measures to ensure appropriate and reliable business operation,” the FSA detailed. Five other exchanges received an improvement order at the same time. However, unlike Bitflyer’s, theirs contain fewer than ten items and do not include a “drastic review of the management system.”

Bitflyer has been delaying deposits and withdrawals as it tries to comply with the FSA’s order. Then, on July 23, the exchange submitted its improvement plan to the agency.

GMO Coin Wants to Borrow BTC Now

Japanese internet giant GMO Group released its quarterly earnings on Thursday. The company recorded operating income for its crypto business in the second quarter after making a loss in the first due to sharp drops in crypto prices, GMO explained, adding:

In the virtual currency business, the number of account openings grew steadily due to aggressive promotion activities … Operating revenue in this segment was 1,612 million yen [~US$14.5 million], operating loss was 258 million yen [~$2.3 million].

Meanwhile, GMO Coin, the crypto exchange unit of GMO Internet, is currently accepting applications from customers wanting to loan the company their BTC. Customers can apply between July 24 and August 6. The minimum GMO will borrow is 10 BTC and the maximum is 200 BTC. The exchange first announced the launch of this program in May.

Coincheck to Reopen in August

Since its hack in January, Coincheck has suspended new account registrations. Monex Group’s president, Oki Matsumoto, said Friday that he expects to relaunch Coincheck in August, local media reported.

The group acquired Coincheck in April after it was hacked in January. According to Monex Group’s financial results from April to June, Coincheck made a pre-tax loss of 259 million yen (~$2.33 million).

Matsumoto elaborated:

I would like to restart full Coincheck service in August … The management system of Coincheck has greatly improved with the entrance of Monex Group.

Meanwhile, Monex is also trying to enter the crypto market through its US subsidiary, Tradestation Group.

What do you think of Bitflyer’s crackdown, GMO Coin’s performance and BTC loan program, and Coincheck’s relaunch? Let us know in the comments section below.

Images courtesy of Shutterstock, Bitflyer, Coincheck, and GMO Coin.

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