The action comes after Sakura Exchange Bitcoin (SEBC), a regulated cryptocurrency exchange, was purchased in November 2022.
Cryptocurrency exchange Binance is reentering the Japanese market by launching a brand-new subsidiary that is completely regulated. This action comes after the November 2022 acquisition of the authorized cryptocurrency exchange Sakura Exchange Bitcoin (SEBC). By May 31st, SEBC’s current services will end, and it will soon reopen as Binance Japan.
After August 1st, 2023, a migration process will be accessible, with a new KYC verification process to comply with local legislation. Users in Japan will need to register with the new business.
As demonstrated by prior actions in Singapore, Malaysia, and Thailand, Binance’s approach to increase its worldwide presence entails acquiring regulated local firms. The exchange was forced to cease operations in Japan in 2018 after failing to obtain a separate license from regional authorities.
However, the exchange hopes to rebuild itself in the Japanese market under strict regulatory compliance by purchasing SEBC and launching Binance Japan.
Binance has imposed restrictions on options trading for residents of Japan using the global platform in addition to the regulatory changes. Users won’t be able to create new option positions or raise current ones as of June 9th. All roles must be filled by June 23rd. Pending orders will be canceled.
In order to offer derivatives services in the future in a fully compliant manner, Binance expressed its commitment to enhancing its service offerings in Japan and collaborating closely with regulators. While ensuring a smooth transition for its users in Japan, the exchange seeks to manage the regulatory environment.