There have been rumblings in the crypto-sphere that Yuzo Kano wants to return to his position as BitFlyer CEO. This in itself is a complicated topic, especially given the circumstances under which he stepped down. More than that, if he’s allowed to return as CEO, Kano insists that he wants to take BitFlyer public.
Kano and his controversial plans are up in the air at the moment, with the matter to be discussed at a shareholder meeting. But what if Kano did return, and what if he did take the exchange public?
First, it is important to understand why Kano stepped down as CEO in the first place, and how his departure impacted the company. Kano stepped down as CEO in 2019. One of the primary reasons he stepped down was an upcoming clamp-down by the Financial Services Agency (FSA.) The FSA had declared that it would be dramatically stepping up regulations, all but suffocating cryptos in Japan. Though it perhaps wasn’t entirely due to the FSA that Kano resigned. Kano had been conflicting with a number of shareholders, many of which insisted that it was time for him to step aside.
Kano stepped down, though did still retain a 40% stake in the company. Immediately after he left BitFlyer altered course drastically. Instead of pursuing innovations and bold new projects, the organisation settled into a position of complacency. Unsurprisingly, it has since lost a great deal of public attention.
It was a combination of new FSA regulations and internal conflict that saw Kano leave, ultimately putting BitFlyer into a state of stagnation.
Now, after years of sitting in the background, Kano is back.
According to him, BitFlyer needs a dramatic shakeup. He has proposed that BitFlyer get back on the cutting edge, pursue new industry innovations, and aim for an initial public offering (IPO) in the near future. Kano insists that this is the only way that the exchange will be seen as a global player again. He has also suggested that he’d like to make the Miyabi blockchain tech open source, thereby allowing programmers and coders around the world to get involved.
It all sounds bold and forward thinking. But could it really be enough to bring BitFlyer back from the proverbial grave?
Since the FSA stepped up regulatory measures in Japan it has been a crypto bloodbath. Many crypto companies have declared that the country is simply too restrictive, with regulations being so dire as to kill business potential. It wasn’t long ago that crypto powerhouse Kraken announced it would be halting Japanese operations. Coinbase made a similar announcement, saying that the Japanese market is simply too suffocating.
But according to Kano, the market conditions in Japan are likely what can be expected around the world. He suggests that by taking action now BitFlyer might just be ahead of the game. If global regulations do shift remains to be seen, but signs are that stricter regulations are already on the way in the US crypto market.
