GMO Internet’s Crypto Mining And Blockchain Businesses Show ‘Historical Performances’ In Q3 Report
Third-Quarter Report Released By GMO Internet, Reporting “Historical Performance,” Despite “Harsh” Industry
GMO Internet comes from Japan with the best performance of any IT company in the world. They publish quarterly reports to inform shareholders of how the company is performing, and the recent report from their third quarter revealed some interesting information. Specifically, they noted a “historical” run in their sectors involving cryptocurrency, which is particularly impressive for, what they call, a “harsh external environment.”
Based on the information provided, GMO noted that the various businesses that they included in their data were founded in mining equipment production and cryptocurrency exchanges. Allegedly, their third quarter revenue was 2.6 billion yen (about $22.8 million) “in just a year since the launch.”
GMO Coin, which is the exchange platform that GMO Internet created, has seen traffic from 208,000 users. These users were responsible for trading 89 billion yen ($781 million) for October alone. Based on the statistics offered by the report, these numbers reflect a 34.4% increase since last quarter.
For now, the mining sector is also up, but the second and third quarters didn’t see much profit. The company attributes the lack of progress in this area to the “worsening external environment,” and “increasing depreciation costs” associated with the economy. The hashrate in October came up to 674 petahash per second (PH/s), though they hope to increase this number to 800 PH/s by the year’s end. Working towards this effort with mining, GMO has created the Miner B3, but the actual delivery of that machinery has been delayed.
Along with these changes towards progress, GMO has also changed the ticker for their Japanese Yen from GJY to GYEN. This stablecoin, which is directly linked with the Japanese fiat currency, is planned for launch next year and will be for international transactions from the platform.
Back in March, GMO received a business improvement order for GMO Coin from the Japanese Financial Services Agency (FSA), which is the entity that regulates cryptocurrency in the country. This order came soon after Coincheck experienced a hack in January, forcing the company to increase protection on their services. It also required the company to create reports on the risk management systems they established. GMO Coin followed up the efforts with creating a new office for security audits, demonstrating their aggressive pursuance of stronger security.