Company: CNCKW
Filing Date: 2025-07-30
Form Type: 20-F
Source: 0001628280-25-036727
Chunk: 38

Company: Coincheck Group N.V.
Filing Date: 2025-07-30
Form: 20-F
Item: Item 3
Chunk 38
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 and including a total loss of the value of such crypto assets. Although

we do not control these smart contracts, any such events could cause customers to seek damages against us for their

losses, result in reputational damage to us, or in other ways adversely impact our business.

From time to time, we may encounter technical issues in connection with the integration of supported crypto

assets and changes and upgrades to their underlying networks, which could adversely affect our business.

33

In order to support any crypto asset, a variety of front and back-end technical and development work is

required to implement our wallet, custody, trading, and other solutions for our customers, and to integrate such

supported crypto asset with our existing technical infrastructure. For certain crypto assets, a significant amount of

development work is required and there is no guarantee that we will be able to support successfully any existing or

future crypto asset. In addition, such integration may introduce software errors or weaknesses into our crypto asset

platforms, including our existing infrastructure. Even if such integration is initially successful, any number of

technical changes, software upgrades, soft or hard forks, cybersecurity incidents, or other changes to the underlying

blockchain network may occur from time to time, causing incompatibility, technical issues, disruptions, or security

weaknesses to our platforms and technical infrastructure. If we are unable to identify, troubleshoot and resolve any

such issues successfully, we may no longer be able to support such crypto asset, our customers’ assets may be frozen

or lost, the security of our hot, warm, or cold wallets may be compromised, and our platforms and technical

infrastructure may be affected, all of which could adversely impact our business.

If miners or validators of any supported crypto asset demand high transaction fees, our operating results may be

adversely affected.

We charge miner fees when a customer sends certain crypto assets from their Coincheck account to a non-

Coincheck account. We estimate the miner fee based on the cost that we will incur to process the withdrawal

transaction on the underlying blockchain network. We also pay miner fees when we move crypto assets for various

operational purposes, such as when we transfer crypto assets between our hot and cold wallets, for which we do not

charge our customers. Miner fees can be unpredictable. For instance, in 2021, Bitcoin miner fees increased from

approximately $10 per transaction in January 2021 to over $60 per transaction in April 2021 and again to over $120

per