Z Corporation, a subsidiary of Yahoo Japan, took 40 percent stake in the company valued over $19 million.
Yahoo Japan, in a blogpost, has confirmed acquiring minority stake in BitArg Exchange. BitArg is a Tokyo-based cryptocurrency exchange. Z Corporation, a subsidiary of Yahoo Japan, took 40 percent stake in the company valued over $19 million. Yahoo Japan further in a statement stated that the exchange will start operations in the Autumn of this year.
“In addition to implementing a third-party allotment of shares to Z Corporation, CMDC Lab Co., Ltd. (“CMD Lab”), the Company’s parent company, will transfer the shares to Z Corporation. As a result of this capital participation, the Company is a subsidiary of CMD Laboratories, as well as an equity-method affiliate of Z Corporation,” Yahoo Japan said.
They further added that “By utilizing the service operation and security expertise of the Yahoo group, we support the operation of exchanges operated by BitArgo Exchange Tokyo”.
The rumours of acquisition started earlier last month, although in the reports it was clearly stated that the investment would be made through its forex platform YJFX and not Z Corporation.
Japan is a country with over 3 million digital currency traders and Yahoo Japan’s investment falls in just after the financial authorities in Japan had asked two exchange platforms, Eternal Link and FSHO, to cease operations due to insufficient KYC norms.
Further, Monex group recently announced that it has struck a deal with cryptocurrency exchange coincheck to acquire it. Coincheck recently suffered a $500 million worth cryptocurrency hack.