Summary:
DMM Bitcoin to close business after a massive $320 million theft.
Customer accounts and assets to be transferred to SBI VC Trade.
Closure planned around March next year to ensure customer convenience.
The Financial Services Agency calls for a review of trading risks among exchanges.
DMM Bitcoin's Closure Announcement
Japanese cryptocurrency exchange DMM Bitcoin has officially announced its decision to close its business after a significant incident involving theft. The company revealed that it would transfer the accounts and assets of its customers to another exchange, SBI VC Trade, around March next year.
The Theft Incident
This closure follows the shocking loss of 48 billion yen (approximately $320 million) in Bitcoin due to a security breach that came to light in May. Since then, many of DMM Bitcoin's services have been unavailable, leading to concerns about customer convenience.
Customer Account Transfer
In a bid to protect its clients, DMM Bitcoin has agreed to hand over all customer accounts and assets to SBI VC Trade, which operates under SBI Holdings. The company stated that continuing under the current circumstances would significantly harm customer convenience.
Regulatory Response
In light of this incident, the Financial Services Agency of Japan has requested that a group of cryptocurrency exchanges reassess their trading risks to prevent similar occurrences in the future.
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