Eric Cheng, an entrepreneur based in Singapore has acquired BitTrade for $50 million. The acquisition will place Cheng in a position to be the 100% controller of BitTrade.
The acquisition will also see Cheng gain control of an affiliate company of BitTrade, FX Trade Financial, one of the largest forex trading platforms in Japan. According to a press statement released after the acquisition both firms will take advantage of the synergies provided by the acquisition with a view to expanding the trading services that are provided on the exchanges. Additionally the two platforms will work towards strengthening cybersecurity measures as well as developing interfaces that are user friendly across the globe.
Japan witnessed the cyberheist at Coincheck where more than $Half billion was stolen by hackers, the country’s financial watchdog has triggered a stringent cryptocurrency regulatory climate since then. The license that BitTrade holds already stipulates strict guidelines and more requirements that were introduced earlier last month. Due to the stringent cryptocurrency exchange regulations some exchanges have been asked to halt their operations as a result of having insufficient “Know Your Client” norms and this included FSHO and Eternal Link.
Two months ago Z Corporation, a Yahoo Japan subsidiary, confirmed that it had purchased a 40% stake in a Tokyo-based virtual currency exchange known as BitArg. The stake was valued at more than $19 million. At the time Yahoo Japan indicated that the virtual currency exchange would begin operations in the fall of this year. Japan currently boasts of more than three million virtual currency traders.
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