Coincheck seeks investors to acquire funds after the hack

Coincheck is currently in talks with several investors to procure repayment funds after the hack, hopes to regain public trust
27 February 2018   865

The resounding scandal around Coincheck hack has been on the news since the beginning of the year with lawsuits and statements from both sides. The clients are still waiting for the cryptocurrency withdrawals to resume like it happened with fiat, it seems unlikely. The official statement is that Coincheck will return the money to the clients, the returns will be performed in fiat with the exchange rates still unknown.

But the prospects are looking good, it seems, because Coincheck is currently in talks with several investors to acquire the funds for the refunds needed. An informed inside source stated that there have emerged several possible partners and even an investment fund. These resources will allow the company to return the trust of the clients affected by the hack, or so they hope.

Already a month has passed since the hacking, and the prospects of Coincheck compensating their 260,00 customers are looking bleak. While the fiat withdrawals have resumed on February 13, the crypto assets are still locked. Coincheck promises to allocate nearly 46 million yen for these refunds, but some customers are unhappy, to say the least, with such a turn of events. The lawsuits are currently in progress with victims demanding the return of their assets, so the possible tie-ins with investors to repay the customers seems to be the only way upward for the exchange from the long downward spiral in terms of the client base's trust.

Bakkt to be Launched in December

It is also reported that Goldman Sachs does not plan to create custodial cryptocurrency solutions based on the Bakkt infrastructure
19 October 2018   39

The expected launch of the Bakkt will take place on December 12 of this year. It is reported by The Block, citing informed sources.

Also, the material states that the investment bank Goldman Sachs does not plan to create custodial cryptocurrency solutions based on the Bakkt infrastructure. At the same time, the bank is considering the possibility of trading futures on a new platform.

In a recent Fortune interview with Bakkt, Kelly Lofler said that the cryptocurrency market is on the verge of a revolution comparable in size to the one that occurred on the energy market in the early 2000s.

Greater institutional participation in the digital asset markets requires secure and regulated custody solutions. We are impressed by BitGo’s product, unique services, and the management team. We view our investment in BitGo as an exciting opportunity to contribute to the evolution of this critical market infrastructure.
 

Rana Yared

Managing director, Goldman Sachs’ Principal Strategic Investments group

Bakkt is a cryptocurrency unit of the Intercontinental Exchange (ICE), which is the operator of the New York Stock Exchange. Giants such as Microsoft and Starbucks are taking part in creating of the new project, which is positioned as an “ecosystem for digital assets”.

The new platform will offer deliverable bitcoin futures to the market (unlike the settlement contracts for CBOE and CME, these are based on the underlying asset). The platform will support multiple fiat currencies.