Rakuten, Japanese E-Commerce Firm Sets Up A New Payment Subsidiary – Rakuten, a Japanese e-commerce firm is restructuring its company by setting up a new cryptocurrency based payment system. which incorporates its cryptocurrency business.
This new system will also work as a cryptocurrency exchange. Rakuten, referred to as ‘Japan’s Amazon,’ initially revealed in August 2018. It was looking to revamp its entire infrastructure so as to enhance accountability, efficient allocation of resources and basic decision-making processes.
“We have been preparing the Group Reorganization through a company split, to clarify accountability, improve management efficiencies and optimize the allocation of resources. Thereby further grow and expand the Rakuten Ecosystem and maximize corporate value,”
–Rakuten stated in the press release.
Rakuten, Japanese E-Commerce Firm Sets Up A New Payment Subsidiary. Presently, the organization will rebrand its loyalty subsidiary, Spotlight Inc., to a new entity, Rakuten Payment, which will run its cryptocurrency exchange.
According to the press release, the Rakuten exchange will go live for trading purposes by April 1 this year. Once launched, the platform will be responsible for providing two operations:
- the cryptocurrency exchange Everybody’s Bitcoin, which Rakuten acquired last August
- prepaid card service Rakuten Edy
The cryptocurrency exchange, Everybody’s Bitcoin, was acquired by Rakuten for 265 million yen ($2.4 million). The company reported that “the role of cryptocurrency-based payments in e-commerce, offline retail and in P2P payments will grow in the future.”
“The goal is to achieve more integral promotion of the payments business operated by the group. As a result of the absorption-type split with the company as the split company. The company’s payments-related businesses and shares of Rakuten Edy, Inc., with Rakuten Card Co., Ltd. The shares of Everybody’s Bitcoin Inc. will transfer to Spotlight Inc., a wholly-owned subsidiary of the Company,”
Rakuten has been keen on the cryptosphere for quite some time, first picking to accept Bitcoin (BTC) on its platform in 2015.