Strengthening the Internal Control Framework, Compliance and Risk Management

「To fulfill its social responsibilities, achieve sustainable growth and enhance corporate value, the group clearly stated in its Basic Policy on Corporate Governance, formulated in December 2017 and partially revised in December 2021 and July 2025, its commitment to proactively addressing compliance and risk management in order to achieve effective corporate governance.」

「To fulfill its social responsibilities, achieve sustainable growth and enhance corporate value, the group clearly stated in its Basic Policy on Corporate Governance, formulated in December 2017 and partially revised in December 2021, its commitment to proactively addressing compliance and risk management in order to achieve effective corporate governance.」

「To fulfill its social responsibilities, achieve sustainable growth and enhance corporate value, the group clearly stated in its Basic Policy on Corporate Governance, formulated in December 2017 and partially revised in December 2021, its commitment to proactively addressing compliance and risk management in order to achieve effective corporate governance.」

「c Risk and Compliance Committee: Established to consider and implement specific measures relating to risk management and compliance within the group.」

「BPJ will continue to enhance the risk management and compliance frameworks required by law and for the conduct of its business, while working to secure more stable earnings than before.」

「The company implemented recurrence-prevention measures focused on determining the cause and strengthening security, and sequentially resumed its fiat currency deposit and withdrawal services, margin trading services, cryptocurrency spot trading services, cryptocurrency transfer and receipt services, and acceptance of applications to open new accounts by 25 December of the same year.」

「The company implemented recurrence-prevention measures focused on determining the cause and strengthening security, and sequentially resumed its fiat currency deposit and withdrawal services, margin trading services, cryptocurrency spot trading services and cryptocurrency transfer services during the cumulative second quarter of the fiscal year. BPJ will continue working to protect users and ensure transaction security while advancing initiatives aimed at continuing its business.」

「BPJ is actively investigating the cause of the incident, implementing measures to prevent further damage and recovery measures, and considering and implementing measures to prevent recurrence. Specifically, it expects to need approximately ¥30 million for forensic investigations involving the collection and examination of evidence remaining on computers and digital storage media, and the investigation and analysis of various logs; approximately ¥414 million to review and strengthen commercial systems such as cryptocurrency wallet systems and error detection systems; and approximately ¥50 million for reviewing the management control framework, including system risk management, and other measures. Accordingly, approximately ¥494 million of the funds raised through the third-party allotment is scheduled to be allocated to these purposes.」

「株式会社ビットポイントジャパン will continue to make strengthening its management control framework and improving customer convenience its highest priorities in order to realize safe and secure cryptocurrency trading.」

「As of the end of the cumulative third quarter of the fiscal year, the company had voluntarily continued to strengthen its management control framework based on the business improvement plan submitted on 23 July 2018. It reviewed the organizational structure of the company and sought to enhance its governance functions by changing to a company with an audit and supervisory committee. It also improved transaction reliability by obtaining an information security rating and introducing a robust security system.」

「To realize safe and secure cryptocurrency trading, BPJ has positioned strengthening its management control framework as its highest priority. It reviewed the organizational structure of the company and sought to enhance its governance functions by changing to a company with an audit and supervisory committee. It also opened the Okinawa Business Center and transferred BPJ's call center operations and other functions within the group, thereby working to improve operational efficiency and strengthen human resources in core areas.」

「However, as the development of its systems failed to keep pace with its rapid expansion, consolidated subsidiary 株式会社ビットポイントジャパン, which operates a financial business and is referred to as BPJ, received a business improvement order from the Kanto Local Finance Bureau dated 22 June 2018 and submitted a business improvement plan on 23 July of the same year. Going forward, until implementation of the business improvement plan is complete, BPJ will submit written reports to the Kanto Local Finance Bureau every month on its progress and implementation status.」

「The consolidated subsidiary 株式会社ビットポイントジャパン received the following business improvement order from the Director-General of the Kanto Local Finance Bureau on 22 June 2018: (1) establishment of a management control framework, including a framework enabling the internal control and internal audit divisions to fully perform their functions; (2) establishment of a risk management framework for anti-money laundering and countering the financing of terrorism; (3) establishment of a framework for segregated management of customer assets; (4) establishment of a management framework for customer protection measures; (5) establishment of a system risk management framework; and (6) establishment of a risk management framework for the introduction of new cryptocurrencies and other related matters.」

「The group believes that, in order to fulfill its social responsibilities, achieve sustainable growth and enhance corporate value, it must make proactive efforts to ensure compliance and strengthen risk management. Across the group, it will conduct ongoing awareness-raising activities, education and training, foster a strong sense of ethics among all employees, and build a corporate culture in which each person can act with sound judgment and responsibility.」