Japanese e-commerce behemoth Rakuten has completed registration of – and been granted a license for – its re-branded cryptocurrency exchange, Rakuten Wallet.

The Financial Services Agency (FSA), Japan’s financial regulator, announced yesterday that Rakuten Wallet has successfully registered as a virtual currency exchange service provider with the Kanto Local Financial Bureau.

Originally launched in March 2017 as Everybody’s Bitcoin, Rakuten acquired the cryptocurrency exchange in August 2018 for a reported 265 million yen ($2.4 million at the time of acquisition).

Prior to receiving regulatory approval, Everybody’s Bitcoin had been operating as a ‘deemed virtual currency exchange service provider’ while its application was being considered.

Gentlemen, We Can Rebuild It

On April 25, 2018, as part of an FSA investigation following the catastrophic hack of fellow Japanese crypto exchange Coincheck, Everybody’s Bitcoin was issued a business improvement order by the Kanto Local Finance Bureau.

According to the order, an investigation into the exchange’s security and data handling revealed a lack of appropriate verification being carried out with regards to internal audits as well as there being no effective management system in place to oversee outsourcing.

In addition, the investigation found “inadequate management arrangements to ensure proper business operation, measures against money laundering and terrorist financing, preparation and preservation of legal books, provision of appropriate information to users, and system risk.”

In response to the order, Rakuten underwent a significant restructuring of its business management and internal control systems and, on March 1, 2019, Everybody’s Bitcoin was renamed Rakuten Wallet.

In a press release issued earlier today by Rakuten, the company stated:

As a virtual currency exchange service provider, Rakuten Wallet will support sound development of the industry, and provide a safe and trustworthy user experience by further strengthening its security and service offerings.

According to the statement, the crypto exchange’s current operations will come to an end on March 31st. Customers will be able to open new accounts on the Rakuten Wallet platform beginning in April.

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