Changes in Crypto-Asset and Web3-Related Regulations

「The risk item “The market related to WEB3,” which was listed last fiscal year, has been removed because it has become less important from an operational perspective.」

「Signals is a platform designed to comply with domestic laws and regulations and intended for use within corporate groups, to which laws and regulations relating to gambling and similar activities do not apply. However, laws and regulations in various countries are still under development, and changes to or the introduction of new regulations, or changes in the geopolitical environment, could affect the provision of our services.」

「The crypto-asset market is highly volatile, and the impact of sudden market volatility on the business cannot be ignored. In addition, legislation and regulation in various countries are still under development, and changes to or the introduction of new regulations could affect the provision of our services. Given the nature of the Group's business, securing personnel with advanced expertise in blockchain technology and crypto assets is also an important challenge. If we are unable to secure and retain appropriate personnel in the competitive environment, there is a risk that the business will not be able to sustain its growth. Furthermore, in light of the security risks, including hacking and unauthorized outflows of assets, that have emerged across the industry, the Group is required to maintain ongoing technical safeguards and strengthen its risk management framework.」

「If regulations relating to crypto assets and Web3 in various countries change significantly in the future and the Group is unable to respond to those changes, this could affect the Group's business and financial performance.」

「If regulations relating to crypto assets and Web3 in various countries change substantially in the future and the company is unable to respond to those changes, its business and performance may be affected.」