Line Messaging App to Launch Crypto Exchange in Singapore


Japan’s largest messaging service Line is opening a cryptocurrency exchange in Singapore as early as July. The exchange will be known as Bitbox.  The company has already applied for a license to operate a cryptocurrency exchange in Japan.

About 30 cryptocurrencies will be on offer among them Bitcoin, bitcoin cash,  ethereum and litecoin but will not handle fiat. The platform will reportedly be available in 15 languages. US and Japanese users are however excluded. The website will be linked to an app later in the year.

Line Corp is seeking to diversify its revenue streams from its core advertising business. Line is among several large businesses in Japan positioning themselves to reap from the lucrative cryptocurrency market. Mitsubishi UFJ Financial Group, the fourth largest bank in the world has similar interests.

Monex Group, another JapaLinenese financial services firm recently acquired Coincheck cryptocurrency exchange as an entry point.

Other messaging platforms like Telegram are also in the space. Telegram, for example, raised $1.7 from the sale of its own tokens.

Facebook also has a team looking into blockchain although its plans are not yet public.

According to the Chief Executive Officer Takeshi Idezawa, the company intends to put blockchain at the centre of the company’s offerings which include commerce and entertainment, Bloomberg reports.

Line messaging app, which is similar to WhatApp is particularly popular in Asia. It has an estimated user base of about 200 million. Line’s payment service is estimated to have 40 million users.

This user base has however been declining and facing serious competition from the likes of WhatsApp and Facebook Messenger hence the need to diversify.

Singapore is seen as a more favourable destination for cryptocurrency businesses for its perceived openness. Japan recognises cryptocurrencies but enforces some of the strictest regulations in the world. Exchanges are required to put in place strict AML and KYC safeguards with regulators conducting regular inspections.

Privacy coins like Zcash, Dash and Monero have been recently banned.

Only last, the Financial Services agency issued improvement orders to six exchanges over weak anti-money laundering controls.

Such measures often result in serious dips in the highly volatile market.

Total cryptocurrency market capitalisation is now about a third of its value in January.

Leave a Reply

Notify of

Risk Warning: Investing in digital currencies, stocks, shares and other securities, commodities, currencies and other derivative investment products (e.g. contracts for difference (“CFDs”) is speculative and carries a high level of risk. Each investment is unique and involves unique risks.

CFDs and other derivatives are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how an investment works and whether you can afford to take the high risk of losing your money.

Cryptocurrencies can fluctuate widely in prices and are, therefore, not appropriate for all investors. Trading cryptocurrencies is not supervised by any EU regulatory framework. Past performance does not guarantee future results. Any trading history presented is less than 5 years old unless otherwise stated and may not suffice as a basis for investment decisions. Your capital is at risk.

When trading in stocks your capital is at risk.

Past performance is not an indication of future results. Trading history presented is less than 5 years old unless otherwise stated and may not suffice as a basis for investment decisions. Prices may go down as well as up, prices can fluctuate widely, you may be exposed to currency exchange rate fluctuations and you may lose all of or more than the amount you invest. Investing is not suitable for everyone; ensure that you have fully understood the risks and legalities involved. If you are unsure, seek independent financial, legal, tax and/or accounting advice. This website does not provide investment, financial, legal, tax or accounting advice. Some links are affiliate links. For more information please read our full risk warning and disclaimer.