Monex’s Coincheck Shares Latest Financial Report Reveals Important Advancements
Do you remember Coincheck? This is the Japanese crypto exchange that was hacked back in 2018 and that lost most of its money. After some time, the company was acquired by the Japanese online broker company Monex Group to save the company and it looks like this may actually be happening.
According to the newest report, which is from the Q3 of the 2019 fiscal year (which is actually the last quarter of 2018, as the fiscal year begins in April 2018 and it finishes in March 2019 in Japan), the company has halved its losses when compared to the previous quarter.
The report, which was made by Monex Group, which now owns the exchange, indicates that the losses were of 300 million yen (around $2.76 million USD). The revenues were around $4.77 million USD, also bigger than before.
During Q2 of the 2019 fiscal year, the company lost 600 million yen ($5.52 million USD), so the improvements can be quite clearly seen, despite the company still being unprofitable due to the hack.
The Problem After The Hack
As you may know, Coincheck was hacked in January and it lost $534 million USD worth in NEM (XEM) tokens. The theft was so big that the exchange simply had to pause its operations and shut the business down soon after the incident.
The Monex Group decided to acquire the company in April in order to save what was left of it. Following that, the company reopened and started to walk the road to redemption. As we can see by the numbers, it looks like the company is on the right track now, as services started to normalize at the end of 2018, which had a very positive impact in the Q3 2019 fiscal year reports.
Back in December, the exchange confirmed that it had over 900,000 users with their IDs confirmed using the service. Monex has also affirmed that now the company has started a new initiative as well, as blockchain lab in which experiments are being made to turn the company into something more profitable.
The Monex Group overhauled the whole security system of Coincheck and was able to reimburse the victims of the hack, which made the space for the company to be in a more comfortable position right now.
If things continue to move this way, there is a fairly good chance that the Monex Group might just be able to turn Coincheck into a profitable business even with the notorious hack.