Japanese Exchange Loses Record $530 Million in Cryptocurrency

NEM Price Drops below $0.8 due to Sudden 17% Decline					            JP Buntinx

NEM Price Drops below $0.8 due to Sudden 17% Decline JP Buntinx

The FSA usually decides whether to approve the registration of a virtual-currency exchange after about two months. What I need now is for the company to return my money without fail. Coincheck's president said he "deeply regretted" the issue. "I will get into trouble if it emerges my assets have been stolen".

Trading of most virtual currencies and withdrawals in Japanese yen have since stopped.

The company also revealed during its press conference that it was not registered with Japan's Financial Services Agency, according to specialist website Coindesk, but that added that it now plans to do so - although its survival must surely now be open to question.

Still, the company has launched a proactive advertising campaign, including TV commercials featuring an entertainer. "We are doing our utmost to resume normal operations as soon as possible". Most of the other major cryptocurrencies slid, but only slightly, with declines in the single digits.

Normally, digital currency exchange operators store valuable data in computers that are securely sealed off from Internet access.

Kenji Saito, a lecturer on environment and information studies at Keio University, said, "It is a matter of course that [virtual currencies] are managed in offline conditions to keep safety levels high". Bloomberg, which had a presence at the press conference, has reported that 500 million NEM tokens were looted from Coincheck's digital wallets.

"I heard security measures were in place through segregated management of customers' assets", the man said.

The communication, originally in Japanese, also outlines the refund method.

Almost the entire amount of NEM coins that clients had entrusted to the company was stolen in the incident. Coincheck is looking to compensate its customers, the management announced. We are sorry for your inconvenience, but we appreciate your understanding.

"Sentiment towards the cryptocurrency is turning increasingly bearish amid regulation fears, with recent news of a massive exchange in Japan halting client withdrawals further souring investor appetite", Otunuga said in an email.

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