SBI takes over Japanese Crypto exchange TaoTao, post concluding partnership with Binance

Japanese cryptocurrency exchange TaoTao has been acquired by SBI Holdings, just one day after TaoTao concluded partnership talks with Binance.

By · Oct 8, 2020 . 5min read

SBI takes over crypto exchange TaoTao news
Source : IStock

Japanese financial conglomerate, SBI Holdings, is dipping deeper into digital currencies with acquiring the crypto exchange TaoTao. SBI Liquidity Market announced that the group’s foreign exchange and derivatives arm had acquired a 100% stake in TaoTao from its prior owner. Nevertheless, the firms have not given any disclosure about the terms and financials of the deal.

TaoTao is licensed by the FSA (Financial Services Agency). It launched its digital exchange operations last year, providing trading services with a few top digital currencies. Earlier identified as BitARG, YJFX, a subsidiary of Yahoo! Japan, acquired a 40% stake in the crypto exchange in 2018. However, the companies did not disclose the deal’s monetary size; reports estimate it to be approximately $19 million.

SBI possess two licensed Crypto Exchanges

After acquiring TaoTao, this is the second licensed cryptocurrency exchange of SBI as the group already runs SBI VCTRADE in the Japanese market. The current acquisition will build SBI share in the crypto market and profit its current business with core expertise.

Moreover, TaoTao elucidates that it had experienced a change of shareholders with Yahoo Japan’s shares. The company appended that it had also developed a partnership with SBI’s SBILM subsidiary, a recently launched branch of the financial giant set to utilize R3 blockchain consortium-developed technology to influence its foreign exchange trading solutions.

The acquisition deal hit comes only a day after reports unveiled a collaboration between TaoTao and Binance abandoned. Binance appears to have joined the conversation with TaoTao and Japan’s Z Corporation in January 2020. The primary objective of holding these discussions and forming the partnership was to improve both firms’ domestic business.

Additionally, recently SBI is set to join forces with a Swiss crypto bank named Sygnum. Moreover, it intends to build a USD 66.3m unlisted stocks fund for promising crypto and blockchain startups in Europe and Southeast Asia. The firms elucidate that they aim to tokenize companies’ equity, and in the future, would attempt to raise funds immediately from the market through STOs.

Follow Cryptodose for more updates.

         All News