Bitmax: The crypto exchange of messaging giant LINE

LINE, a Shinjuku-based messaging market leader launched a virtual currency trading service targeting the domestic market, Bitmax, on September 17. This service operates currently on Android devices and enables its 80 million users in Japan to trade virtual currency. 

Just a few days after LINE received its final regulatory approval, Bitmax was launched. In a statement released on 17 September, the new exchange is live trading five major cryptocurrencies: Bitcoin, Ethereum, Ripple, Bitcoin Cash, as well as Litecoin.  The service is accessible via Line Wallet on the mobile app. In addition, it is integrated with LINE Pay making it more convenient to deposit and withdraw Japanese fiat currency, Yen.

Currently, LINE boasts of about 81 million monthly active local users. On a global reach, they boast of about 164 million existing Line users. This target market is open for Bitmax to exploit. LINE will operate the crypto exchange via LVC Corporation. On 6 September, LVC Corporation was awarded its exchange license by Japan’s Financial Services Agency. 

Japanese residents with a LINE account can easily access BITMAX. Trading transactions do not incur any fees. However, a fee of 108 Yen is applicable for deposits and withdrawals. 

LINE acknowledges that other companies are embracing virtual currency trading services and goes ahead to suggest that there is room for expansion. The statement reads:

“Some services already have a lot of users, but we are still in the early stage, and we think this is an area that has the potential to expand in the future.”

Bitmax – Using a cold wallet for better security

Palo Alto-based BitGo that plays the role of segregating consumer assets and storing them in a cold wallet developed LINE wallet. A dedicated team that focusses on ensuring the security of the cold wallet manages the wallet.

Recently, messaging giant Telegram also announced the upcoming launch of their blockchain network TON. Developed by Telegram’s team, TON Network is a blockchain project that aims to enable decentralized applications and messaging.