In an official press release, LINE Corporation, the company behind the LINE messaging app, announced the creation of a new company, LINE Financial Corporation (LINE Financial) as an extension of LINE Pay, a payment service already working on its messaging app.
According to the announcement, past year Line Pay saw significant growth, with its global annual transaction volume exceeding JPY 450 billion ($4.1 billion) and its user base exceeding 40 million registered users. The new business will provide a way for people to exchange and transact virtual currencies, loans, and insurance via the Line app.
The app, known for electronic stickers of a brown bear and his rabbit girlfriend, is ubiquitous in Japan, Line also has a strong presence in Taiwan, Thailand and Indonesia. In comparison crypto exchange Coinbase only has around 13 million registered accounts and trading brokerage Robinhood around 3 million.
Its $1.1 billion US-Japan IPO in 2016 failed to gain traction across the rest of the world so the firm has focused on its core markets in Asia.
Line Corporation, the Tokyo-based company operating the chat app with over 200 million monthly users, has announced it is going to launch a cryptocurrency exchange.
Line could be the largest consumer-focused organization to get into crypto lately.
LINE has been expanding its ties with other financial institutions of late, with an agreement reached earlier this month with Folio, an online-based securities company, to lay the groundwork for the launch of an asset management service.