Company: CNCKW
Filing Date: 2025-07-30
Form Type: 20-F
Source: 0001628280-25-036727
Chunk: 9

Company: Coincheck Group N.V.
Filing Date: 2025-07-30
Form: 20-F
Item: Item 3
Chunk 9
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 extent that we expand internationally, in addition to the other significant risks relevant to

internal expansion, or any expansion, through mergers, acquisitions, joint ventures, partnerships, strategic

relationships or similar relationships or transactions, we would become subject to a heightened risk of enforcement

action, litigation, regulatory, and legal scrutiny, which could lead to sanctions, cease and desist orders, or other

penalties and censures which could significantly and adversely affect our continued operations and financial

condition.

We operate in a highly competitive industry and our business, operating results, and financial condition may be

adversely affected if we are unable to respond to our competitors effectively.

The development of crypto assets and related cryptocurrency markets, exchanges and NFT marketplaces

has been rapidly evolving, and is characterized by competition, experimentation, changing customer needs and

frequent introductions of new products and services. Crypto asset trading markets are also subject to evolving

industry and regulatory requirements both in Japan and internationally. We expect competition to further intensify in

the future as existing and new competitors introduce new products and services or enhance existing ones. We

compete against a number of companies operating both in Japan and abroad, both those that focus on traditional

financial services and those that focus on crypto-related services. Our most direct competitors are other companies

licensed in Japan to provide crypto asset exchange services to individual retail investors. As investor acceptance of

crypto assets as an investment category has grown, we also see competition from traditional financial technology

and brokerage firms that are entering the crypto asset market in Japan, including through joint ventures, and offering

services targeted at our customers.

In addition to competition within Japan, another source of competition has been from companies located

outside of Japan, many of which are subject to significantly less stringent regulatory and compliance requirements,

or enforcement efforts, in their local jurisdictions. To the extent investors in Japan are able to access their services,

such companies may be more able to quickly adapt to trends, support a greater number of crypto assets, and develop

new crypto-based products and services. Their business models may in fact rely, in large part, on being unregulated

or less regulated in their applicable jurisdictions.

To date, due to limited enforcement by regulators in many places, we believe many of these competitors

have been able to operate from offshore while offering a number of products and services to retail customers,

including in Japan and other more highly regulated jurisdictions, without complying with the relevant licensing and

other limitations and requirements in Japan and other more highly regulated jurisdictions