by Joseph Young
Japanese bitcoin exchange bitFlyer has raised US$4 million in its latest funding round to strengthen its platform and improve the security of the exchange, according to an announcement on its website.
BitFlyer will allocate the majority of the investment into developing a more secure platform for its users and improving its payment / trading infrastructure. The exchange will work side by side with its investors including Mitsubishi UFJ Capital Co, Dentsu Digital Holdings., QUICK Corp, MITSUI SUMITOMO INSURANCE Venture Capital Co, and Venture Labo Investment Co. to expand throughout Asia.
In the announcement, bitFlyer CEO Yuzo Kano said, “bitFlyer will use the latest funding round to build a more robust security environment for our customers to trade bitcoin, establish a firm management foundation with increased capital, and maintain a solid management system. In addition, bitFlyer will take advantage of synergies available with each investment organization, and will continue to promote customer base expansion, strengthen revenues, and expand our global business development.”
BitFlyer is a bitcoin exchange based in Japan which was founded by Kano, a former Goldman Sachs derivatives trader, immediately after the bankruptcy of Mt.Gox, the world’s largest bitcoin exchange at the time. Since then, bitFlyer has been operating as the largest bitcoin exchange in Japan by volume, serving the majority of the customers that have fallen victim to the Mt. Gox incident.
“If we have another fiasco like Mt. Gox, it’s game over. There needs to be monitoring to prevent that from happening,” explained Kano.
BitFlyer runs a bitcoin exchange and brings in earnings on buys and sells of bitcoin. The organization has done well with leveraging its investors’ customers. GMO Internet Group, which likewise invested in the startup, opened its doors to 48,000 online merchants to BitFlyer. The relationships the organization has made through fundraising is likely to assist in propelling the firm’s gains in 2015.