Banking Group SBI Postpones Cryptocurrency Exchange Launch


Japanese financial services SBI Group has delayed the launch of its exchange after discovering it had to further strengthen security measures.

In an announcement this week, the SBI group confirmed the postponement of the launch of its cryptocurrency market Japan's first bank-owned cryptocurrency exchange. SBI became the first banking group to announce the launch of a trading platform as reported in October 2016 by CCN. The launch of exchange operations continues to observe delays, although SBI Virtual Currencies was established as a new offshoot in November 2016. The delays come despite finishing its registration in late September 2017, as a currency exchange operator with the Financial Services Agency, Japan's financial regulator.

The group revealed that a select group of priority clients had already completed formalities to start an account at the stage but they, together with regular clients, will have to wait for an undetermined period of time for the launch of the trading platform.

Pointedly, the need was underlined by SBI for strengthening safety measures.

In loosely translated statements, SBI said:

The self-enforced delay comes to exchanges extending to on-site inspections by the regulator following the 530 theft from Tokyo-based cryptocurrency exchange Coincheck on the heels of scrutiny by the FSA. Japan's largest cryptocurrency exchanges are banding together to establish a self-regulatory body to comply with security measures that are better to protect investors against thefts.