In a bid to comply with the Asian country’s new regulations for digital cryptocurrencies, leading crypto trading exchange Binance launched a new range of services in Japan via a subsidiary. The services went live on August 1, 2023.
Binance forayed into the Japanese market in November 2022 after it purchased a Tokyo-based crypto company Sakura Exchange Bitcoin. The Japanese platform officially changed its name to Binance Japan on August 1, 2023.
According to the country’s new regulations, new crypto users in Japan cannot create accounts on Binance’s international platform. Even existing users will no longer be able to access the exchange from December 2023. Presently, the number of Binance users in Japan runs well into the thousands.
In the wake of the new rules, Binance will allow its users to shift to Binance Japan from August 14, 2023, as it would be able to wrap up the identity verification process for the new company by then. By migrating to Binance’s new subsidiary, users will be able to access live cryptocurrency prices any time they want.
Binance Japan’s new range of services would include access to 34 cryptocurrencies – that’s more than what’s offered by any other exchange in Japan currently. The advantage would give Binance an edge over competing platforms like BitTrade and Bitbank.
Binance rushing to acquire permits
In the recent past, Binance has landed on the radar of regulatory bodies of several countries as it does not list any headquarters. To escape the regulatory scrutiny, it has turned to acquiring operating licenses after getting warnings from several financial authorities across the globe. In Japan too, the country’s Financial Services Agency served Binance a notice in 2021 for not registering with it.
The same year, financial authorities in the United Kingdom directed Binance to halt its services in the region. In July 2023, the Nigerian government alleged that the company had been operating “illegally” in the African nation. Nigeria issued a notice warning its citizens against using the exchange’s services. Accusing Binance of operating in Nigeria without a license and declaring its operations illegal, Nigerian authorities cautioned investors of the potential risk and loss associated with using Binance.
To escape the rising regulatory action against crypto exchanges across the world, Binance has been in a rush to procure licenses for operating cryptocurrency exchanges in multiple countries. Apart from Japan, the exchange has also secured licenses in countries like Indonesia, Australia, Poland, France, and Italy. According to reports, it’s also planning to expand its footprint to Thailand. Over the years, it has carved a niche for itself for information about the Top 10 cryptocurrencies.
Disclaimer: This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
