Announcement of Subsidiary’s Release

TOKYO, October 30, 2018 – Coincheck, Inc., a fully owned subsidiary of Monex Group, Inc., issued
the following press release today.

Attachment: Coincheck, Inc. press release
Notice to resume "new account openings" and "customers’ depositing and purchasing somecryptocurrencies" services

Akiko Kato
Atsushi Demoto, Yuki Nakano
Corporate Communications Office
Investor Relations, Financial Control Department
Monex Group, Inc.
Monex Group, Inc.
+81-3-4323-8698+81-3-4323-8698
This material is an English translation of a Japanese announcement made on the date above. Although the Company intended
to faithfully translate the Japanese document into English, the accuracy and correctness of this English translation is notguaranteed and thus you are encouraged to refer to the original Japanese document. This translation was made as a matter ofrecord only and does not constitute an offer to sell or to solicit an offer to buy securities in the U.S.
Contact:October 30, 2018
Coincheck, Inc.

Notice to resume "new account openings" and "customers’
depositing and purchasing some cryptocurrencies" services
Coincheck, Inc. (Head office: Shibuya-ku, Tokyo, President: Toshihiko Katsuya, hereinafterreferred to as "Coincheck") had suspended some services in order to protect customers’
assets and to investigate the cause of hacking to its system on January 26, 2018 whichcaused the illegal remittance of the cryptocurrency NEM. Since then, Coincheck had been
making efforts to improve its governance and internal control by carrying out business
improvement plans. Up to date, Coincheck has decided to restart its services step by stepfor which technical safety was confirmed with supports from external experts. In particular,
we resumed JPY withdrawal in February 2018 and remitting and selling of cryptocurrencies
gradually during the period from March to June 2018. And now, here we announce thatCoincheck has resumed "new account openings" and "customers’ depositing andpurchasing some cryptocurrencies” services today.
The services that has resumed today (October 30, 2018):
New account openings

Depositing some cryptocurrencies
The cryptocurrencies available for deposit: BTC, ETC, LTC and BCH

Purchasing some cryptocurrencies
The cryptocurrencies available for purchase: ETC, LTC and BCH (Purchasingand selling of BTC have not been suspended due to the incident.)* Remittance and selling have been available for all of the cryptocurrencies that we offer.
About the resumption of new account openings:
The resumption of the service to open new accounts is available for customers who1

live in Japan.
After a customer applies for new account opening, we will send an email to notify thereceipt of the application as soon as we complete checking of registration details, thesubmission of identification documents, and the selfie, etc. In case there is someincompleteness, etc. in the information submitted, the applicant may be asked tocorrect the registration information and/or to resubmit required documents, etc.



After we finished the KYC (know your customer) process for the new account opening,
we will send a postcard-sized letter notifying that the account opening procedure has
been completed, by Japan Post’s recorded delivery (no forwarding permitted), so please
be aware to receive it. (Note that if the customer failed to receive the letter, our service
will be not available.)After the customer received the letter, we will send an e-mail notifying of service
activation. By checking the e-mail and logging in to the Coincheck account, thecustomer will be able to use all of the functions and services except for the ones which
are yet to be resumed.

It may take several days from the application date until registered information is
confirmed at Coincheck, or until the letter notifying the completion of account opening
is sent.

In case Coincheck receives unexpected number of applications at once, the process
may take longer days than usual.

About depositing and purchasing cryptocurrencies:
Accompanied with the resumption of the services today, we are requesting eachexisting customer to once again generate a depositing address when reusing thedepositing service. Please generate a new deposit address by clicking the "Create
Address" button at the "Deposit Coins" screen.

Please be reminded that if the remittance has been directed to the old deposit
address or to the deposit address of other cryptocurrencies, we will not be able toreflect on the balance or to return back that particular cryptocurrency.

2Precautions related to the service resumption:
There is a possibility that access to the services and/or connection to the customer
service center will temporarily become difficult, due to increased access.

If we experience or monitor a significant increase in the volume of transactions, orsudden price fluctuations, or encounter problems that have not been known to us at thepresent stage, we may temporarily suspend trading at our discretion without a priornotice.

When unforeseen issues are detected, we may suspend the services planned forresumption without a prior notice.

All of the dates and times described in this notice are in Japan Standard Time (JST).

The services currently available (as of October 30, 2018):
The following functions are available as "Coincheck" services as of now:

New account openings

Depositing and buying cryptocurrencies (but only for BTC, ETC, LTC and BCH)



Remitting and selling cryptocurrencies (for all tradable cryptocurrencies at Coincheck)Depositing and withdrawing JPY

Making settlements and margin deposits in existing leveraged transactions(Customers who already hold leveraged positions remain qualified for exercisingsettlement transactions and transferring margin deposits. Note that new leveragedtransactions are still under suspension.)

Coincheck cryptocurrency lending service (for all tradable cryptocurrencies atCoincheck)

The services preparing for resumption (as of October 30, 2018):
We will, from time to time, resume the following services that are currently suspended if theservices are confirmed safe and become ready to be offered.
Depositing and buying ETH, XEM, LSK, XRP and FCT.

Leveraged transactions for new positions3Affiliate service

JPY depositing through convenience stores

JPY quick depositing (Pay-easy)

Coincheck Payment

Coincheck DENKI (electricity)■About Coincheck
Name of Company: Coincheck, Inc.
Name and title of the representative: Toshihiko Katsuya
Establishment: August 28, 2012
Main business: Cryptocurrency exchange service and Bitcoin payment service provider
URL：https://coincheck.com

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Reference Materials:
The efforts to strengthen its governance and internal control of our company
Coincheck has made considerable efforts to establish and execute the following systems inorder to recover the customers' trust.
1. Strengthened the risk management system under a new management team
Coincheck has become a subsidiary of Monex Group, Inc. on April 16, 2018. ToshihikoKatsuya, who became President of Coincheck on the same day (concurrently serves as
Senior Executive Officer of Monex Group, Inc.), together with other management directors,
has steadily proceeded the measures to separate supervision and execution functions, and has
started operations under a new management team. At the same time, the organization andhuman resources were strengthened in order to establish sufficient customer protection
systems. New business units and departments were established and the number of employees
increased to about 250 (as of the end of September 2018), which is about twice the number ofemployees in January 2018.
2. Efforts taken by the Business Division


Revised the criteria for selecting tradable cryptocurrencies

We reviewed the criteria for selecting tradable cryptocurrencies from a viewpoint ofcustomer protection and AML/CFT (*), and delisted 4 cryptocurrencies (REP, DASH, ZEC
and XMR) that deemed inappropriate for trading in June 2018.
Considering the importance of the criteria for selecting tradable cryptocurrencies, Coincheckhas newly established a dedicated department that conducts research on technicalcharacteristics

andrelated

matters, risk evaluation, and selection of tradable

cryptocurrencies. Our selection of new tradable cryptocurrencies will be made based on the5

criteria set by the department to offer customers to trade with a feeling of security.
*AML/CFT: Anti-money laundering and combating the financing of terrorism
Fortified the system security settings

We conducted system restructuring such as network isolation and completed conversions ofstorage for all the tradable cryptocurrencies into cold wallets to avoid unexpected influence
from the targeted attack through the Internet, with a support from external experts who haveknowledge of financial system security and cyber security, including countermeasuresagainst cyber-attacks and information leakage. Also, in addition to establishing the Cyber
Security Promotion Department that oversees the overall system security settings, weestablished and operate CSIRT (Computer Security Incident Response Team) for the purposeof enhancing response to incidents. All of our executive directors, department managers andemployees are continuously making efforts to execute BCP (Business Continuity Plan), inorder to minimize the impact on our stakeholders, including our customers, at the time when
an incident occurs.
3. Efforts in the Risk Management and Compliance Division
Establishment of the Risk Committee

We have newly established the Risk Committee that grasps company-wide risks andformulates and monitors action plans for each department. The committee, in cooperation
with the Board of Directors, works to strengthen the risk management systems.
Strengthening the AML/CFT and suspicious transaction monitoring

We have established the systems to continuously monitor and report suspicious transactions
and the systems to provide sufficient customer support, by expanding the Customer Support
Department both by the number of personnel and hub, by setting stricter KYC (know yourcustomer) process at the time of new account opening, and by setting criteria for customers
who require intensive monitoring.

6

Development of internal rules regarding cryptocurrency insider trading

We have determined the internal rules on cryptocurrency insider trading so as to strengthen
our compliance system.

The rules stipulate that our management and employees, as those

who engage in the cryptocurrency exchange business, shall refrain from utilizing
cryptocurrency insider information (information that is not publicly available and may havea significant influence on the price of cryptocurrency) to avoid unfair trading, shall makeefforts to realize fairness and transparency in the cryptocurrency market, and shall maintainand improve trust from our customers.
4. Efforts in the Internal Administration and Internal Audit
We have made efforts to strengthen the personnel structure and the authority, etc. of internal
administrative and internal audit departments, in order to ensure legal compliance and proper
business operation without being affected by business performance such as businesspromotion and profit expansion.
Measures to respond to the business improvement orders:
Measures to respond to the business improvement order (received on January 29, 2018)
Business improvement order

Improvements and corresponding actions

Investigation of the fact and -cause

Conducted forensic investigations
Identified the invading route with a support ofexternal experts' knowledge-Provided information to police in order to investigate
the cause

Proper customer care-

Compensated the NEM holders-

Resumed remittance of cryptocurrencies and JPY
withdrawalbusiness -Fortified the Board of Directors functions

administration and clarify where -Executed the management system reform

Strengthen

thethe responsibility lies7

Establishment of the effective -Established the effective system risk management

system risk management scheme

settings, by newly creating the System Risk

and formulation of the measures

Committee

to prevent recurrence, etc.

Department-andCyber

Security

Promotion

Restructured all the systems (replaced all of theemployees' PC,introduced

surveillance tools,

developed improved security environments, etc.)

Active utilization of external advisory services

Measures to respond to the business improvement order (received on March 8, 2018)
Business improvement

Improvements and corresponding actions

order
Governance

Drastically reform-management system

Redefined the Board of Directors functions
to focus mainly on supervising executives-

Fortified supervision functions by having
outside directors as the Board members

Review business-strategy in terms ofthorough customer

internal control and system risk control-

Introduced cold wallet custody for all
cryptocurrencies offeredprotection
Enhance various

Prioritized resource allocation to enhance-controls by Board

Developed various rules for enhancing
governance and invited outside experts tocommittees for compliance and system risk

Internal

Assess various risks ofAdministrationeach cryptocurrency
offering-

Changedcriteria

foroffering

cryptocurrency-

Internal Audit

Stoppedoffering

4

anonymous

cryptocurrencies, etc.
Enhance AML/CFT-measures

Made ID confirmation process stricter.
Implemented

8variousmeasuresforidentifying, evaluating and lowering risks
based on FSA guidelines
Ensure various controls-

Reinforced controls for system risk andand effectiveness before

AML/CFT risk, and upgraded risk control

reopening suspended

across the company

services and AOP-

Increased staff for internal audit

The services that we resumed so far:
October 30, 2018

New account openings, and depositing and buying somecryptocurrencies (BTC, ETC, LTC and BCH)

June 7, 2018

Remitting and selling XEM

May 7, 2018

Remitting and selling XMRApril 6, 2018

Remitting and selling REP, DASH and ZEC

March 22, 2018

Remitting and selling LSK and FCTMarch 12, 2018

Remitting and selling ETH, ETC, XRP, LTC, BCH and BTC

February 13, 2018

JPY Withdrawal

9