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DMM, a major entertainment conglomerate in Japan, which also operates an e-commerce platform widely used by more than 27 million active members, will launch a cryptocurrency exchange this month.
Seven cryptocurrencies, accepting requests on January 11
DMM Bitcoin, the entertainment giant's cryptocurrency swap, will begin to accept requests from local traders and investors as early as Jan. 11, after the official launch of the swap on Jan. 10 .
Since DMM Bitcoin is a financial institution regulated by the Financial Service Agency (FSA) of Japan, it is required to implement Know Your Customer (KYC) policies and systems, and money laundering. As such, similar to other exchanges in the Japanese cryptocurrency market, DMM Bitcoin will likely proceed to a rigorous audit process for traders, particularly for large-scale and high-level individual investors.
The official statement published by DMM obtained by Bitcoin.com reads:
"DMM Bitcoin will launch a new service site for virtual currency trading on January 10, 2018, and we plan to start accepting account-opening applications on January 11." There are 7 virtual currencies that can be traded, 3 currency pairs for spot trading and 14 currency pairs for leveraged trades. "
At its launch, DMM Bitcoin will only support seven hand-picked crypto-coins in Bitcoin, Ethereum, NEM, Ripple, Litecoin, Ethereum Classic and Bitcoin Cash. Although the method used by the company to list the seven crypto-currencies mentioned above remains unclear, DMM Bitcoin has added only cryptocurrencies with markets, user bases and solid daily transaction volumes.
Competition against GMOs and Huobi Japan / SBI
Last year, GMO Group, a multi-billion dollar Internet company based in Japan, launched its own cryptocurrency system, listing five digital assets, with a budget of $ 90 million. Unlike other major brokerages and trading platforms in the global market as Coinbase has received, the initial capital of GMO Group was relatively small.
But, over time, GMO Group expanded its cryptocurrency business, launching a bitcoin mining center and a mining equipment manufacturing plant to produce ASIC mining chips.
Given that the GMO Group exchange targets leading investors and institutional investors, Bitcoin DMM will compete directly with the GMO Cryptocurrency Exchange.
Last week, CCN also announced that Huobi, formerly the largest cryptocurrency exchange in China before the imposition of a ban on cryptocurrency trading by the government, announced its expansion to Japan and South Korea. Holdings, one of the largest banks in Japan.
"SBI Holdings has entered into a basic agreement with Huobi Group (1.65 million accounts, maximum daily trading volume of more than CNY 30 billion (approximately JPY 510 billion), which has a stable historical record of Exchange of cryptocurrency In China, to explore the following alliances, "the official statement issued by SBI Holdings on December 7 read," the official announcement of SBI Holdings read. ]
The entry of GMM into the local currency exchange market in Japan will lead to greater trading volume distribution, which is better for the market and for investors. BitFlyer, GMM Bitcoin, Huobi and GMOs will be competing to consolidate their positions as cryptocurrency trading leaders.
Based on the performance of GMM Bitcoin, the company could also continue its earlier projects of creating a "bitcoin mining farm", an ambitious project aimed at matching production volumes of large regions like China
"DMM Mining Farm" will operate a high quality mining farm, manufactured in Japan, whose operating size will be unmatched by any domestic operators … During year 2018, DMM will be one of the 10 largest mining operations in the world, " said DMM.
Image from Shutterstock to photo
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