Coinspeaker OSL Group Acquires Majority Stake in Japan’s CoinBest to Strengthen Digital Asset Footprint

In a major push to expand its footprint in Japan’s digital asset market, OSL Group, a Hong Kong-listed financial services company, has announced the acquisition of a controlling stake in CoinBest, a popular crypto exchange in Japan regulated under the country’s Financial Services Agency (FSA).

According to an announcement on November 4, the acquisition was executed through the group’s wholly-owned subsidiary, OSL Japan. The firm purchased  81.38% of CoinBest shares from four independent third parties, signaling a bold step into one of Asia’s most regulated and established crypto markets.

OSL Group to Complete the Deal Next Year

OSL said it plans to complete the acquisition by December 2025, pending fulfillment of conditions set out in the agreement. The company said the move aligns with its broader expansion strategy and reflects its commitment to building a more robust presence across the Asia-Pacific region.

Japan, known for its stringent regulatory environment and advanced approach to digital assets, recorded about 5.16 million active crypto traders in 2023. The company said the deal represents a prime opportunity for the group to leverage its experience in regulatory compliance, operational standards, and security practices to explore the market.

The acquisition is set to unlock business synergies between OSL and CoinBest, combining resources and enhancing operational efficiency. OSL, which recently passed the SOC2 Type 2 audit, a key industry standard for security, expects the partnership to bring new product offerings to the Japanese market while boosting trading liquidity and technology integration.

“Acquiring CoinBest is a pivotal milestone for OSL. This move signifies our entry into the Japanese market, heralding a new era of global growth. Leveraging the robust foundation we’ve built in Hong Kong, we aim to bring our expertise in OTC, custody, and trading services to new markets,” said  Ivan Wong, top executive at OSL Group.

October Rained Business Acquisitions in the Crypto Market

The company already has an established presence in countries like Hong Kong and Singapore. In January this year, its CEO Patrick Pan said the company’s 2024 plan included expanding to other markets with its digital asset offerings. While its major focus remains on crypto trading, OSL plans to push its other products, including its hot and cold wallet, to the world for broader adoption.

Pan disclosed at the time that the wallets were fully covered by insurance offered by Lloyds of London. He also said that the company’s financials are audited annually by PricewaterhouseCoopers.

Meanwhile, the past week has seen several acquisitions in the crypto market. On Friday, Crypto.com, one of the leading digital asset trading platforms, announced the purchase of Watchdog Capital, a United States-based broker-dealer registered under the country’s Securities and Exchange Commission (SEC).

Through the deal, the exchange plans to explore equities trading to compete with established giants like Charles Schwab, Fidelity Investments, and Interactive Brokers LLC. According to the announcement, Crypto.com will offer the services specially for US customers.

That same week, Coinspeaker reported that UK-based crypto exchange Archax had agreed to buy King & Shaxson Capital Markets (KSCM) for European expansion. In October, other companies, such as payment giant Stripe, Komainu, a crypto custodian, and CoinDesk, a digital asset news media, made strategic acquisitions to expand their business offerings.

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OSL Group Acquires Majority Stake in Japan’s CoinBest to Strengthen Digital Asset Footprint