Company: CNCKW
Filing Date: 2025-07-30
Form Type: 20-F
Source: 0001628280-25-036727
Chunk: 4

Company: Coincheck Group N.V.
Filing Date: 2025-07-30
Form: 20-F
Item: Item 3
Chunk 4
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 the crypto

industry, or other kinds of financial institutions with which the crypto industry may be identified, whether or not we

are directly impacted, could lead to a general loss of customer confidence in crypto assets, crypto exchanges or in

the use of technology to conduct financial digital asset transactions, which could negatively impact us, including the

market perception of the effectiveness of our security measures and technology infrastructure.

Cybersecurity attacks upon systems across a variety of industries, including the crypto industry, are

increasing in their frequency, persistence, and sophistication and, in many cases, are being conducted or supported

by sophisticated, well-funded, and organized groups and individuals, including state actors. The techniques used to

obtain unauthorized, improper, or illegal access to systems and information (including customers’ personal data and

crypto assets), disable or degrade services, or sabotage systems are constantly evolving, may be difficult to detect

quickly, and often are not recognized or detected until after they have been launched against a target. These attacks

may occur on our systems or those of our third-party service providers or partners. Certain types of cyberattacks

could harm us even if our systems’ operations are left undisturbed. For example, attacks may be designed to deceive

employees and service providers into releasing control of our systems to a hacker, while others may aim to introduce

computer viruses or malware into our systems with a view toward stealing confidential or proprietary data.

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Additionally, certain threats are designed to remain dormant or undetectable until launched against a target and we

may not be able to implement adequate preventative measures.

Although we have developed systems and processes, including employee training, designed to protect the

data we manage, prevent data loss and other security breaches, effectively respond to known and potential risks, and

expect to continue to expend significant resources to bolster these protections, there can be no assurance that these

security measures will provide absolute or adequate security or prevent breaches or attacks. We have experienced

from time to time, and may experience in the future, breaches of our security measures due to human error,

malfeasance, insider threats, system errors or vulnerabilities, or other irregularities. For example, in January 2018,

Coincheck, then under its prior management (that is, before Monex acquired control), was ordered by the JFSA to

improve its business operations due to a case in which approximately 526.3 million of the NEM crypto asset, or

¥46.6 billion, was illegally transferred