The biggest messaging app of Japan, Line has planned to introduce a cryptocurrency exchange, which will let the regulators check the exchanges in the country post the incident of the stealing of $530 million which is roughly around Rs. 3,300 crores. This stealing was accomplished in digital money through Coincheck in the world’s biggest cyberheists.
In a statement, Line mentioned that it has already applied to the financial regulator of Japan in order to operate the exchange, which has its applications under scrutiny.
The Financial Services Agency of Japan, which inspects the registrations of the new exchange, stated that it will be investigating all the exchanges related to cryptocurrency in Japan to locate the security gaps, especially after the hacking that took place at the Coincheck exchange. This step by the agency is aimed to offer secured trading platforms.
The theft of JPY 58 billion or $532.84 million of NEM coins from the Coincheck, that took place on Friday, has put the focus on the security gaps in trading the asset, which the global policymakers are thriving to regulate.
This incident has also intensified the focus on Japan’s approach on the cryptocurrency exchanges. During the last year, Japan became the first country to initiate the regulatory exchanges at the national level. This procured praises from various traders of cryptocurrency and exchange operators in order to accentuate the innovation while ensuring protection to the consumers.
A spokesperson from the Line has said that the balanced communication between the experienced or novice users must be established strategically and should be checked minutely.
So far, the FSA has also registered 16 cryptocurrency exchanges and are awaiting the clearance of the 16 more.
The trading of cryptocurrency has hiked during the last year in Japan. The shares of Line have hiked 4%. This is regulated by the Naver of South Korea.