Approximately eighteen firms are in the process of applying for a Japanese bitcoin exchange license according to the Japan Cryptocurrency Business Association, the Nikkei Asian Review reports. These include currently operating cryptocurrency trading venues, such as Japan’s biggest bitcoin exchange bitFlyer, as well as some new names.
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Among those newer-to-the-field applicants we can see some very strong and known brands from the finance sector including: GMO Internet, Inc. (TSE: 9449), financial services conglomerate SBI Holdings (TYO:8473) and Kabu.com Securities.
The most obvious reason for this rush of new entrants into the Japanese bitcoin exchange business is that Japan will stop applying consumption taxes on the purchase of cryptocurrencies starting July 2017. Additionally, the meteoric price rises of altcoins such as Ethereum and Dash as well as the record performance of bitcoin all attract financial firms to join the market so they can offer their investors and traders exposure to the instruments.
Back in January, after it was revealed that GMO Internet had decided to participate in the cryptocurrency exchange and trading business and already established a bitcoin subsidiary, GMO Wallet Co. Ltd., we analysed the possibly great importance this could have on the online trading industry.