- Sony acquired Amber Group’s Japan-based crypto exchange business, Whalefin, to enter the crypto market
- The tech giant has previously explored Web3 through partnerships and investments in startups
- Sony plans to restart Whalefin’s operations in 2023 under the new name “Reyku”
Sony has purchased Amber’s Japan unit to restart the Whalefin crypto exchange in 2023, according to reports. The technology giant has dabbled in Web3 through partnerships and investments in crypto startups.
Sony’s Entry into the Crypto Market
The reports indicate that Sony bought Amber’s Japan unit for enter the crypto market. Sony plans to restart the Whalefin crypto exchange that Amber acquired in 2019. The company aims to relaunch the exchange in 2023 after obtaining regulatory approval.
Sony has made several crypto-related investments over the past year. In January 2022, the company invested $5 million in Securitize, a blockchain services provider for digital securities. Sony also partnered with Theta Labs to integrate the Theta Network into the Sony Europe Bravia TV lineup.
The Whalefin Exchange
Whalefin is a Japan-based crypto exchange that Amber acquired in 2019. The exchange was founded in 2018 but shut down shortly after launch due to a lack of resources.
Amber is a Hong Kong-based crypto financial services company. It purchased Whalefin with plans to relaunch the exchange but later sold it to Sony.
Sony’s Crypto Ambitions
Sony’s purchase of Amber’s Japan unit signals its ambitions in the crypto space. However, the company faces stiff competition from other Japanese exchanges like Bitflyer and GMO Coin.
Sony will need to differentiate Whalefin from existing players in the market. The company may leverage its brand recognition and global reach to attract new crypto traders and investors to the exchange.
Regulatory Approval
Sony will need to obtain regulatory approval from Japan’s Financial Services Agency (FSA) before relaunching Whalefin. The FSA imposes strict standards for crypto exchange licensing.
Meeting the FSA’s criteria related to security, governance, and risk management may take Sony 12-18 months. Only after obtaining FSA approval can Sony restart Whalefin operations.
Conclusion
Sony’s acquisition of Amber’s Japan unit and the Whalefin exchange represents its first major foray into the crypto sector. However, significant work remains to relaunch Whalefin and compete in Japan’s crowded crypto exchange market. Still, Sony’s brand power and technical resources suggest it is serious about becoming a leader in crypto financial services.
