The termination of “All Bitcoins Inc.” was by Rakuten Inc. The company also shared their intention to launch their very own Rakuten Wallet by the end of the month. This is seen as a rapidly growing trend as many companies are beginning to launch crypto wallets. , KIK and Line are only some of the companies currently working or having released their wallets.
The company recently completed their filings as a virtual currency exchange company (VCEX).
Rakuten were also quick to address the questions regarding the company’s direction:
“We strongly believe that the Rakuten Wallet is going to contribute heavily towards the market growth. As a VCEX we will continue to work on enhancing security and providing better services so more can use them safely and confidently.”
An additional VCEX application will be filed for the Rakuten Wallet in late September 2019.
Rakuten is working with a very interesting concept. The company is saving its money by them spending more money. The cashback on purchases, combined with very attractive discounts seem to be a formula which is working.
The Rakuten Wallet can help solve some long-lasting issues
Of course, not everyone is too happy with that business model. Rakuten’s offerings have struck a nerve when it dealing with the JFTC between Amazon and Yahoo . This resulted in one-sided alterations to contracts with sellers. The situation resulted in forcing the sellers to loyalty programs which do not benefit them at all. This will not be a real issue if the price difference would be covered by them, but this is not happening.
The Rakuten Wallet will spice up things even more. Since the platform is specialized in discounts, alterations to the discounts and cashbacks can be made with the Rakuten Wallet digital payments. The limited options will be helpful to clients since too many will end up confusing them.
If a VCEX license is acquired, Rakuten will be able to eliminate middlemen like centralized banking institutions and PayPal. At the moment however, that option seems highly unlikely. Simply because the majority of clients are so used to dealing with middlemen, it will be a while before companies can freely remove them.
It’s not very clear which currencies will be used by the Rakuten Wallet. It’s very likely that new currencies will be created, but the most used currencies will be , and ETH. While this is certainly a step towards mass , that’s not the case with decentralization. Rakuten is simply aiming for a redistribution of power which could end up hurting the company in the long run.
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Published at Tue, 26 Mar 2019 11:14:56 +0000
