According to the Nikkei newspaper reported yesterday, the licensed cryptocurrency exchange DMM Bitcoin in Japan plans to raise 55 billion yen through capital increase and internal group loans to compensate users for the 3.11 billion US dollars worth of Bitcoin stolen at the end of May.
DMM plans to raise capital and borrow 55 billion yen to compensate users
How big is the group behind DMM Bitcoin?
Diversified operations
Keishi Kameyama is known as an entrepreneurial model
Japan’s licensed cryptocurrency exchange DMM Bitcoin experienced a significant amount of Bitcoin theft at the end of last month, with up to 4,502.9 BTC illegally transferred from the exchange, resulting in a loss of approximately 48.2 billion yen (3.11 billion US dollars).
The Japanese Financial Services Agency also announced on June 3 that it had issued an order to DMM Bitcoin under the “Funds Settlement Law,” requiring the exchange to report on the reasons for the theft incident and the customer compensation plan.
DMM plans to raise capital and borrow 55 billion yen to compensate users
Against this backdrop, the Nikkei Economic News reported yesterday that in response to the Bitcoin theft incident on May 31, DMM Bitcoin, with the support of its parent company DMM.com, will fully guarantee the Bitcoin lost by customers by raising 55 billion yen (322 million US dollars) through capital increase and internal group loans.
How big is the group behind DMM Bitcoin?
For many readers, they may have only heard of DMM Bitcoin because of this incident, but the e-commerce giant DMM may be familiar. The following section will introduce you to the legendary story of this company.
The founder and current chairman of DMM, Keishi Kameyama, was not born into wealth. Before founding DMM, he was just running a small company that provided AV video rentals. According to Wikipedia:
1986 – Keishi Kameyama founded KC Co., Ltd. in Ishikawa Prefecture, Japan (now DMM.com Base) for video rentals.
1990 – Established Kitadu Group (now CA Group, one of Japan’s largest AV manufacturers) to start the adult video copyright business.
July 1998 – The online video platform “DMM” officially started operation.
November 17, 1999 – Established Digital Media Mart Co., Ltd. in Kaga City (now DMM.com).
In the 1990s, Kameyama saw the huge potential of the internet and was the first to launch online AV sales through DMM.com, seizing the market opportunity and dominating the Japanese AV industry, accumulating a wealth of fortune and internet technology foundation.
After achieving initial success, Kameyama hoped to provide diversified services to meet market demand. He believed that relying solely on the adult video business could not guarantee the company’s long-term development. Therefore, Kameyama transformed DMM.com into a business empire integrating e-commerce, gaming industry, education, and financial services.
E