Japan’s E-Commerce Giant DMM Set To Quit Cryptocurrency Mining Business

Less than a year after setting up its business, E-commerce giant DMM.com is reportedly in the process of leaving the cryptocurrency mining business.

The Japanese firm, according to Nikkei, made the decision to withdraw from crypto-mining last September, due to the continuous drop in the cryptocurrency business, which led to less profit for them.

The report further added that the withdrawal process, including the sale of its mining machines, could continue until the first half of 2019.

Founded in 1999, DMM is one of the largest e-commerce sites in Japan. In January, 2018, however, it delved into the cryptocurrency exchange business, named DMM Bitcoin, becoming one of the 16 licensed trading platforms in the country.

More so, September 2017, saw DMM announcing its plan to set up a mining farm with the aim of becoming one of the 10 largest mining farms in the world by the end of 2018, and to eventually reach a top-three ranking.

With that in mind, in February, 2018, DMM began mining cryptocurrencies including bitcoin, ethereum and, litecoin, in Kanazawa, the capital city of the Ishikawa Prefecture.

Their decision to pull out of the crypto-mining business is coming just days after another Japanese internet giant GMO announced it would halt making its next-generation bitcoin mining machines, after recording an “extraordinary loss” of 35.5 billion yen (or $321.6 million).

Meanwhile, after announcing that it would drop the idea of launching another cryptocurrency trading platform called Cointap on December 25, it noted that it would rather focus on improving trading services on DMM Bitcoin.

Comments (No)

Leave a Reply

Home | About us | Privacy Policy | Terms and Conditions | Advertise | Submit Post