Japan is once again proving itself to be a growing cryptocurrency haven. The country’s Yahoo Corp just announced that it will purchase a 40 percent stake in the cryptocurrency exchange BitARG.
How Much Money is That, Exactly?
Yahoo Japan is the nation’s largest online auction site. While the company is remaining relatively silent on exactly what 40 percent constitutes, an anonymous source suggests that the total could be equal to about two or three billion yen. That’s anywhere between $18 and 27 million in USD.
The deal comes after last week’s partnership between Monex Group and Coincheck. Monex agreed to purchase Coincheck and manage all its customer accounts after the exchange fell victim to one of the worst cryptocurrency-related hacks in history – losing over half-a-billion in NEM coins last January. The purchase is equal to about $34 million USD.
Monex then became the latest mainstream financial service company in Japan – after SBI Holdings Inc. and Line Corp – to shrug off security concerns and enter the digital finance arena.
A Partnership That’s Months in the Making
BitARG later released a statement explaining that the partnership would allow it to “capitalize on the service operation and security expertise of the Yahoo Japan Group.” The confirmation comes after nearly a month of denying that Yahoo was ever interested in investing in the company, as executives had previously stated they were simply exploring “various possibilities.”
The 40 percent stake agreement has already been approved by Japan’s Financial Services Agency (FSA). Shares in Yahoo Japan eventually closed-down 0.2 percent against a 0.6 percent gain for the benchmark Nikkei average.
The Bulls Are Entering the Scene Again
The move is alleged to have had positive effects on the bitcoin price. At press time, bitcoin is trading at just over $8,100 – over $1,000 more than where it stood at the mid-week point.
In the meantime, many analysts remain extremely bullish on bitcoin, with Fundstrandt’s Tom Lee saying:
“We still feel pretty confident that bitcoin is a great risk-reward, and we think it could reach $25,000 by the end of the year.”
His sentiment is shared by tech billionaire Tim Draper – who predicts that bitcoin could strike the $250,000 mark by the year 2022 – and Binance founder Changpeng Zhao, who is “convinced 100 percent that crypto is the future.” As the brains behind the number one cryptocurrency exchange in the world, Zhao is currently the globe’s third-highest ranking cryptocurrency billionaire.
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