Japanese cryptocurrency exchange Coincheck reported a significant revenue increase in the third quarter. The 75% growth is linked to a successful merger and subsequent Nasdaq listing.
Coincheck Revenue Growth
In the third quarter ending December 31, Coincheck increased its revenue to $782 million, marking a 75% rise from the second quarter. Despite impressive revenue growth and a 72% increase in customer assets, the company recorded a net loss of $98.1 million, primarily due to sales and administrative expenses totaling $751 million.
Merger and Nasdaq Listing
CEO of Coincheck Group Gary Simanson explained that the strong financial results are attributed to the completion of a merger with Thunder Bridge Capital, followed by a Nasdaq listing. This allowed Coincheck to gain public status through a $1.25 billion de-SPAC transaction. Following the merger, the company's shares and warrants began trading on Nasdaq under the tickers CNCK and CNCKW, respectively.
Coincheck History and Prospects
Founded in 2012, Coincheck is one of the largest crypto exchanges in Japan, with 2.2 million verified customers. It ranks 66th globally among crypto exchanges, with a trading volume of around $120 million per day. The exchange gained international notoriety in 2018 following a major hack, resulting in the theft of $534 million in cryptocurrency. Coincheck fully reimbursed its customers and continues to develop, actively seeking to establish itself as a publicly-traded company.
Coincheck is making significant strides towards global recognition, demonstrated by the successful completion of its merger and Nasdaq listing. Despite past challenges, the exchange continues to grow on the global stage.
