Company: CNCKW
Filing Date: 2025-03-27
Form Type: F-1/A
Source: 0001013762-25-003470
Chunk: 143

Company: Coincheck Group N.V.
Filing Date: 2025-03-27
Form: F-1/A
Chunk 143
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ESP and are subject to certain regulations of the management of the crypto assets of our customers. For example, we must segregate all such fiat currency and cryptocurrencies of our customers from our own property, keep any cryptocurrencies and our own assets in separate wallets and keep at least 95% of our customers’ cryptocurrencies in wallets that are not connected to the internet, or “cold wallets.” For more information on the regulations applicable to our business and our holdings of crypto assets, see “Business — Regulation.”

92 Accordingly, the cryptocurrencies deposited by customers are mainly held in such electronic wallets administered by us. Although we have the private key that is necessary to dispose of cryptocurrencies deposited by customers, we are obliged to purchase and sell the cryptocurrencies at the instructions of the customers based on the contractual arrangement with the customers. In addition, we clearly distinguish between the wallets for our holdings of cryptocurrencies on our own account and the wallets for those deposited by customers and manage them separately. As of December 31, 2024, we recorded ¥1,033,997 million of safeguard liabilities on our condensed consolidated interim statements of financial position with respect to the obligation to safeguard our customers’ crypto assets, which included ¥637,802 million of Bitcoin, ¥134,863 million of Ethereum, and ¥261,332 million of other crypto assets. Crypto assets that are deposited by customers and considered not to be controlled by us are not recognized as crypto assets in our condensed consolidated interim statements of financial position. However, we recognize our obligation to safeguard customers’ crypto assets as safeguard liabilities in the condensed consolidated interim statements of financial position and record corresponding safeguard assets in the condensed consolidated interim statements of financial position. Because we safeguard customers’ cryptocurrencies in accordance with the requirements of the Payment Services Act, the Cabinet Office Ordinance on Virtual Currency Exchange Service Providers, and other laws and regulations, we estimate that the possibility of potential loss events is remote. Therefore, the corresponding safeguard assets were recognized at the same amount as the safeguard liabilities as of December 31, 2024. See Note 9 to our financial statements as of and for the nine months ended December 31, 2024, included elsewhere in this prospectus. Airdrops and forks are events that are unique to our business. As these events occur independently of our decision -makingprocess, it is challenging for us to comprehensively understand and value each specific airdrop or fork. We have limited ability to predict whether the sale of cryptocurrencies received from airdrops or forks will be material to our future earnings, which is dependent on