Back in April 2018, it was revealed that Yahoo Japan was planning to launch a cryptocurrency exchange licensed by Japan’s Financial Services Agency (FSA). Now, a year later, Yahoo Japan’s trading platform Taotao is open offering BTC and ETH trading while also providing users with margin trading available in litecoin (LTC), ripple (XRP) and bitcoin cash (BCH).
Yahoo Japan Corporation has officially entered the cryptocurrency trading industry with its newly launched exchange Taotao. Yahoo Japan is an internet company tethered to the American multimedia corporation Yahoo. The web portal operated by Yahoo Japan is the most visited website in the country, offering services like email, Roku, Gyao, Geocities, auctions, shopping, and travel. The company’s exchange was initially called Bitarg up until Yahoo Japan acquired the trading platform last February and renamed it Taotao. The trading platform is fully licensed with the FSA as a Japanese virtual currency exchange business association type 1 member.
Taotao President, Shinichiro Arakawa, announced the launch of the platform on May 30, 2019, with an initial commemoration campaign that gives traders zero fees for 30 days. Additionally, for BTC, ETH, BCH, XRP, and LTC margin trading, the open position management fees from leverage transactions are waived for the first month. Taotao launched the web portal with its slogan “New money, new world,” and the company believes Taotao makes it easier for cryptocurrency users to trade in a safe manner. The Taotao trading platform can be used in a browser but the exchange also offers a mobile trading experience with its Android and iOS applications. Users can trade with BTC and ETH in a traditional spot market fashion with their smartphone while also playing with leverage on LTC, XRP, and BCH.
The Yahoo Japan-backed Taotao claims to offer top-notch trading in a completely isolated environment from the external networks. Funds are kept in cold storage and Taotao also offers multi-signature technology which requires the approval from multiple individuals at the time of withdrawal. In order to prevent unauthorized logins, Taotao requires two-factor authentication (2FA) for accounts. One interesting thing to note about registering for Taotao is users can sign up with a Yahoo Japan ID to make the process much quicker. Still, in order to be fully verified, users are required to provide a photo ID in order to obtain approval. After the Coincheck breach in January 2018, Japanese exchanges have to abide by strict rules in order to acquire a license to operate a virtual currency trading platform. Yahoo Japan’s Taotao platform is among 19 FSA approved cryptocurrency exchanges within the country.
Crypto Exchange Competition in Japan Is Growing
Yahoo Japan’s entry into the cryptocurrency trading environment will surely help give digital assets further mainstream attention. There have already been advertisements on Yahoo Japan’s web portal when the company announced the pre-registration account openings for March 25 and gave up to 11,000 yen in reimbursements for advance registrations.
Taotao will compete with a slew of trading platforms and the Japanese forerunner Bitflyer, one of the world’s leading digital asset exchanges by volume. For instance, on Monday, June 10, Bitflyer has processed over $58 million or 7,315 BTC worth of trade volume in the last 24 hours. Moreover, last April news.Bitcoin.com also reported on a few other Japanese exchange newcomers that will compete against Taotao.
One of those examples is the Fisco Cryptocurrency Exchange, which initiated services in Japan during the last week of April. Fisco Digital Asset Group (FDAG) previously worked with Tech Bureau Inc., the firm which operated the hacked exchange Zaif, and FDAG decided to relaunch services seven months later. Then there’s the recent opening of Huobi Japan last January, which introduced LTC, BCH, MONA, BTC, ETH, and XRP trading to Japanese traders. Huobi Group managed a merger with Bittrade and rebranded into Huobi Japan after acquiring a license to operate under the FSA’s stricter guidelines. Taotao will also be challenged by the new platform Decurret and the revamped Rakuten service in Japan.
What do you think about the Yahoo Japan-backed Taotao exchange? Do you think this platform will introduce cryptocurrencies to mainstream audiences in Japan? Let us know what you think about this subject in the comments section below.
Image credits: Shutterstock, Yahoo Japan, Taotao, and Pixabay.
Jamie Redman is a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open source code, and decentralized applications. Redman has written thousands of articles for news.Bitcoin.com about the disruptive protocols emerging today.