Bybit Suspends Registration of New Users In Japan To Meet Regulatory Requirements
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Major cryptocurrency exchange Bybit has announced that it will stop onboarding new Japanese users from October 31. The decision will affect both Japanese nationals and residents.
The crypto exchange noted that the decision comes as part of its proactive measures to align with the evolving regulatory framework and embrace local regulations by Japan’s Financial Services Agency (FSA).
No Immediate Service Change For Bybit’s Existing Customers In Japan
Bybit also explained that its existing customers in the country have nothing to worry about, as the decision will not affect them. As the second-biggest crypto exchange in the world, by trading volume, Bybit has gained a considerable number of customers. The firm’s expansion into Asia has increased its customer base.
Bybit has more than 100 crypto tokens listed and over 300 spot trading pairs on its platform. In the last 24 hours, the exchange handled more than $17 billion in derivatives and more than $4.5 billion in spot trading volumes.
In a press release, the exchange stated that it has always tried to remain compliant with the local laws and regulatory requirements guiding its business. It’s in line with this regulation that it has temporarily stopped onboarding new users in Japan.
Bybit said the decision will enable the exchange to focus its resources and efforts on reviewing local regulatory laws and establishing the best way to operate in order to meet all the requirements.
Bybit Receives License To Offer Crypto Services In The UAE
Bybit has continued to expand its operations across Asia and the Middle East. The exchange recently received a full crypto license from the United Arab Emirates. The license will enable Bybit to offer its services in the region. Bybit can now offer virtual asset trading, fiat conversion services, custody, and brokerage services in the country following the regulatory approval.
Japan is a major market for crypto and digital asset companies. While the country’s local regulatory bodies are actively working to ensure sanity, it represents a major hub for many local and foreign companies. Many foreign digital asset firms operate in the country, but mostly by reverse soliciting local customers.
Other companies are also turning their attention to the Japanese market. In 2021, ThinkMarkets acquired Japan Affiliate, a local FX firm, as a means of exploring the market. Plus500 also acquired a Japanese brokerage firm in 2022.
Capital.com has also indicated interest in seeking a license in Japan. But local giants still dominate Japanese contracts for difference (CFDs) markets. Some of the top firms in the industry include Hirose, Giatame, CMO Click, and DMM.
