In a significant move for the Asian crypto market, Japan's financial services giant SBI Holdings has officially launched its proprietary cryptocurrency exchange, VCTRADE. The platform initially opened its doors to a select group of pre-registered users and is scheduled to become available to the general public in July 2018.
The exchange currently supports Ripple (XRP) as its sole digital asset for trading. However, the company has confirmed that Bitcoin (BTC) and Bitcoin Cash (BCH) will be added to the platform in the near future. This phased approach to listing aims to ensure system stability and security from the outset.
VCTRADE Exchange Features and Security Measures
SBI's VCTRADE exchange is powered by Nasdaq's advanced trading and matching engine technology, providing users with a robust and reliable trading infrastructure. Notably, the platform offers zero fees on all trades, though standard withdrawal fees will apply for moving assets off the exchange.
Security has been a paramount concern in the development of VCTRADE. In light of previous security incidents in the Japanese crypto space, SBI has partnered with SECOM Group, a leading security services firm, to develop a comprehensive and secure cryptocurrency wallet management system. This collaboration aims to provide institutional-grade protection for users' digital assets.
The exchange launched with a user base of approximately 20,000 individuals who had pre-registered for the service back in October 2017. This limited rollout allowed SBI to test system performance under real trading conditions while maintaining a controlled environment.
Background and Development Timeline
The journey to launch VCTRADE began much earlier than its 2018 debut. SBI Holdings first announced plans to establish a virtual currency subsidiary back in October 2016, signaling its early recognition of cryptocurrency's potential in the financial sector.
By December 2017, the company had formed a strategic partnership with Huobi, one of the world's largest cryptocurrency exchanges at the time. This collaboration was intended to leverage Huobi's technical expertise and operational experience in the crypto exchange domain, with an original launch target set for early 2018.
However, the devastating January 2018 hack of Coincheck exchange, which resulted in the loss of approximately $533 million worth of cryptocurrency, prompted Japanese financial authorities to significantly strengthen regulatory oversight of digital asset platforms. In response to these heightened security concerns, SBI voluntarily delayed their exchange launch to implement additional security enhancements and ensure full regulatory compliance.
Despite this delay, SBI's leadership remained confident about their platform's potential. The company's president publicly stated that he expected the exchange would "rank first in the blink of an eye" once fully operational, highlighting the organization's commitment to becoming a major player in the cryptocurrency exchange landscape.
SBI's Broader Blockchain Initiatives
Beyond the VCTRADE exchange, SBI Holdings has been actively involved in numerous blockchain initiatives, particularly focusing on Ripple's technology for cross-border payments. The company has been conducting large-scale trials of Ripple's blockchain-based real-time payment settlement system with approximately 38 participating banks.
An additional 23 financial institutions are participating in broader blockchain remittance tests, with the majority of participating banks based in Japan. This concentration is largely due to Ripple's well-established network and presence within the country, which has positioned Japan as a significant hub for blockchain payment innovation.
In another strategic move to strengthen its position in the cryptocurrency ecosystem, SBI recently acquired a 40% stake in CoolBitX, a Taiwanese company specializing in cryptocurrency hardware wallets. This investment demonstrates SBI's comprehensive approach to building a secure and integrated digital asset ecosystem for its customers.
For those interested in exploring reliable trading platforms, 👉 discover advanced exchange features that prioritize both innovation and security.
Frequently Asked Questions
What cryptocurrencies does VCTRADE support?
Currently, VCTRADE only supports Ripple (XRP), but the exchange has announced plans to add Bitcoin (BTC) and Bitcoin Cash (BCH) in the near future. The phased approach allows for thorough testing and security verification before expanding their digital asset offerings.
When will VCTRADE be available to the general public?
The exchange is scheduled to open to all users in July 2018. Initially, access was limited to approximately 20,000 users who had pre-registered for the service in October 2017, allowing for a controlled rollout.
What security measures does VCTRADE employ?
SBI has partnered with SECOM Group to develop a secure wallet management system and utilizes Nasdaq's trading technology. These measures were enhanced following Japan's increased regulatory scrutiny after the Coincheck exchange hack in early 2018.
Does VCTRADE charge trading fees?
No, VCTRADE offers zero fees on all trades conducted on the platform. However, standard withdrawal fees apply when moving cryptocurrencies off the exchange to external wallets.
What makes SBI's exchange different from other Japanese crypto platforms?
VCTRADE distinguishes itself through its institutional backing, partnership with established financial technology providers, and focus on security compliance following Japan's strengthened cryptocurrency regulations in 2018.
Is SBI involved in other blockchain projects beyond their exchange?
Yes, SBI has been actively testing Ripple's blockchain payment system with dozens of banks and has invested in hardware wallet technology, demonstrating a comprehensive approach to the digital asset ecosystem.