Monex Group Inc. was established in 1999, and was at one point Japan’s largest online brokerage. SBI and Rakuten are currently in the lead, leaving Monex trailing in 5th place in terms of online trades. Also ahead of Monex are Kabu.com and Matsui.
Coincheck’s Monex faces stiff competition from new players such as Nomura Holdings
Japan’s largest securities firm Nomura Holdings Inc. is also preparing to launch their own online brokerage, which will further hinder Monex’s share of the online brokerage market.
At the moment, Monex stands at owning 5.2% of the market share of online brokerage in japan, which is a far cry from its previous pole position. Because of this, Monex has devised a strategy to leverage the cryptocurrency market to raise its profile and customer-base.
In 2018 Monex purchased the Coincheck cryptocurrency exchange, and has been furthering advancement into the realm of digital currencies in the hope of clawing back some of their lost ground.
Monex purchased Coincheck to claw back ground lost to rivals
“We’ve fallen a little behind — we can’t deny that” says Yuko Seimei, new President of Monex Securities Inc.
Monex is well aware of their recent slip down the ranks, and is taking the bold decision to move into the cryptocurrency arena to keep up with their competition, and perhaps even gain back some of their lost market share.
Rakuten, however, currently no.2 in Japan’s online brokerage industry holding 18.7% of the market share, is now allowing users to register for its cryptocurrency exchange Rakuten Wallet, which aims to launch in June.
Competition will be stiff for Monex, and entering the cryptocurrency market on its own won’t guarantee success as others in the online brokerage industry are also moving in that direction – but it will certainly help them keep their position secure, and solidify their lead over other competitors who have not yet entered the cryptocurrency domain.