Coinbase, the leading cryptocurrency company has today announced its partnership with a leading Japanese financial institution, Mitsubishi UFJ Financial Group Inc. (NYSE : MTU). The partnership involves Mitsubishi Financial and others making a considerable investment of $10.5 million in the digital currency company.
The recent influx of investment will play a very important role in Coinbase’s future as it will help the company in its expansion spree. At the same time, the investment in Coinbase makes it the first investment for Mitsubishi UFJ Financial Group in the digital currency sector. Some of the other investors in the partnership includes Bank of Tokyo Mitsubishi UFJ and Sozo Ventures.
While announcing the news on its blog, Coinbase reiterates its mission to create a worldwide open financial system which will act as a bridge between conventional financial institutions and the digital currency ecosystem. The company, with the new partnership, is looking forward to expanding its operations to Japan.
Fred Ehrsam, the co-founder of Coinbase was quoted on a leading publication saying,
“Partnering with leading global financial institutions is a key part of our strategy and we are thrilled to be working with BTMU, (Bank of Tokyo Mitsubishi UFJ”
The entry into Japan will mark Coinbase’s second market in the Asian continent as the company is already offering its services in Singapore. Asia is considered a market with huge potential mainly due to its large remittance market and the number of unbanked population in many parts of the continent. Coinbase will be able to capture a considerable chunk of the Bitcoin market, due to its long-standing reputation and services.
On the other hand, the company has been receiving few negative backlashes from the existing customers in the United States for its unusually long customer service response times and few issues with the GDAX platform. While the company has not offered any clear explanation or issued an apology to the Bitcoin community for the deficiency in service, it is assumed that the issues are mainly due to increased requests from customers arising due to few glitches in the platform. These issues are expected to be resolved soon to offer seamless service to its customers.
READ MORE: Coinbase Users Fume as Platform Experiences Growing Pains
Many mainstream investors have started to expand their portfolio in the digital currency space owing to its increased adoption among the population. We can expect more investments to flow into the sector in the coming days.
Ref: Coinbase Blog | WSJ | Image: Coinbase