Japanese e-commerce company Rakuten have made headlines before with regards to their moves towards the cryptosphere, this latest announcement could indicate their biggest move yet. Cryptocurrency seems to be something they are intent on exploring and it’s something that many people are getting a little excited about.
Who are Rakuten?
According to the Rakuten Wikipedia page:
“Rakuten is a Japanese electronic commerce and Internet company based in Tokyo and founded in 1997 by Hiroshi Mikitani. The company operates Japan’s biggest Internet bank and third-largest credit card company (by transaction value). It also offers e-commerce, fintech, digital content and communications services to over 1 billion members around the world, and operates in 29 countries and regions. It is often referred to as the Amazon of Japan.”
Rakuten’s latest announcement
Rakuten have completed the acquisition of Everybody’s Bitcoin Inc, a local cryptocurrency exchange. According to the announcement:
“The Rakuten Group established Rakuten Blockchain Lab which is a dedicated research and development organization in Belfast, UK in 2016, and has been researching blockchain technology. We expect that the role of cryptocurrency-based payments in e-commerce, offline retail and in P2P payments will grow in the future. In order to provide cryptocurrency payment methods smoothly, we believe it is necessary for us to provide a cryptocurrency exchange function, and have been considering entry into the cryptocurrency exchange industry as the Rakuten Group.”
It’s an exciting development, but Rakuten are aware that this is a long project and therefore, Everybody’s Bitcoin isn’t going to bring them huge riches right away:
“The potential impact on the Company’s earnings results from this new subsidiary is negligible. From hereon, the Company will consider trading conditions and make a disclosure in a timely and appropriate manner. In addition, the amount of goodwill, and valuation and time period of amortization of intangible assets will be decided based on its evaluation from now.”
This is the start of a very exciting new era for Rakuten. With their huge presence in Japan already established, entering the cryptosphere in this way will only help the name of Rakuten to spread globally too. E-commerce is big business and is an area that can benefit from cryptocurrency, it seems now that Rakuten are ensuring they get ahead of the game because of this.