Company: CNCKW
Filing Date: 2025-07-30
Form Type: 20-F
Source: 0001628280-25-036727
Chunk: 92

Company: Coincheck Group N.V.
Filing Date: 2025-07-30
Form: 20-F
Item: Item 3
Chunk 92
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 X (formerly, Twitter), and other available news sources, such as CoinDesk

and The Block. We also review public proof of reserve transactions on-chain and use on-chain analysis and research

conducted by blockchain analytics platforms, such as Nansen and Defillama, to obtain additional information.

If we receive information that leads to credit concerns about a specific cover counterparty with which we

transact, we would reduce the amount on deposit with such cover counterparty and transfer assets to another cover

counterparty in order to permit uninterrupted execution of cover transactions. Moreover, if we receive information

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that could suggest reputational or legal concerns or put into question the ongoing viability regarding a cover

counterparty, we would evaluate such information and concerns and, if we deem it necessary, take measures to

transfer assets deposited with such cover counterparty to another cover counterparty and terminate the relationship

with such cover counterparty.

If we receive information that leads to credit, legal or reputational concerns with cover counterparties for a

particular crypto asset, we would first attempt to use our Exchange platform, or other OTC counterparties that are

capable of netting settlement, to execute cover transactions. If we determine no such alternatives are feasible for a

particular crypto asset, we would then temporarily suspend trading of the crypto asset.

With respect to risk management specifically with respect to crypto asset deposits we make with Binance in

our cover counterparty relationship, in December 2022 we added a function to our internal system in the form of a

Coincheck-initiated immediate withdrawal process on our administrator screen. This withdrawal process allows us at

our discretion to initiate the withdrawal of the balance of our crypto assets deposited with Binance. As of March 31,

2025, Binance has a daily withdrawal limit of $160 million USD (approximately ¥25.5 billion based on exchange

rates as of March 31, 2025), and the value of our crypto assets held on deposit with Binance as of March 31, 2025 is

¥129 million. Under our current internal practices, total assets held on deposit with Binance cannot exceed ¥300

million (approximately $2.0 million based on exchange rates as of March 31, 2025). We are not subject to any other

restrictions with respect to this withdrawal process. However, it is possible that Binance could fail to, or be restricted

from, fulfilling our withdrawal requests. There is not a similar immediate withdrawal process