Monex Group Reveals Plans for Blockchain Project, Shows Coincheck Profits

Monex lifted the veil on its blockchain and ICO ambitions after publishing its financial report for the last fiscal year.

In its financial filing for Q1 2018, Monex Group unveiled its plans for a blockchain project and ICO in its description of mid-to-long-term initiatives. In Section IV of its financial report, Monex described a new blockchain-based service it plans on creating that will be the “future of finance.”

It says it will more efficiently oversee its regional subsidiaries, which include TradeStation in the US, Monex in Japan, and BOOM in the Asia-Pacific region, to make sure that their goals are met, benefitting the group as a whole.

“The Japanese segment will reduce costs and increase revenues with our world-class financial expertise and the in-house backbone system, which enables the flexible, quick, and inexpensive development of systems. Also, the Japanese segment will use blockchain technology for the aim of executing all the trading of financial products and every financial transaction in safety and low cost. Creating our own blockchain and ICO is one of our goals,” the company elaborated.

Elsewhere in the document, we can see that Coincheck had a $57 million pre-tax profit after deducting the “extraordinary loss” of $432 million which resulted from the refunds it provided to investors that had lost their money in a hacking incident. A few months ago, the exchange lost 523 million NEM coins, many of them taken from customers’ wallets.

The hackers who took the NEM began to launder the money quickly through other cryptocurrencies on exchanges, making it extraordinarily difficult for authorities to track. As of today, not one single coin has been recovered from the incident, thus burdening Coincheck with having to repay all the people who were wronged without any recourse.

To this day, the breach continues to haunt Japanese traders, who continue to have anxieties about putting their money in exchanges. Under the ownership of experienced money market operators like Monex, we might see some added security measures implemented to prevent this from happening again.

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