The giant Bitcoin exchange Binance is taking an important step today. There were news on the market that the cryptocurrency exchange started the transition to the new platform in Japan. Let’s have a look at the details.
The new move of the Bitcoin exchange
This move by Binance has to do with a buyout. Accordingly, Bitcoin exchange Binance bought Sakura Exchange Bitcoin (SEBC) in November 2022. The exchange is a legal cryptocurrency exchange in Japan. After five years away from the Japanese market, crypto exchange Binance has begun the process of establishing a new fully regulated subsidiary in the country.
This move comes after the acquisition of legitimate crypto exchange Sakura Exchange Bitcoin (SEBC) in November 2022. As part of the deal, SEBC will cease its current services by May 31. It will also reopen as Binance Japan in the coming weeks. Accordingly, users of the exchange’s global platform in the country will have to register with the new organization. The pass will be effective after August 1, 2023. There will also be a new authentication process (KYC) to comply with local requirements.
Part of the enlargement process
As Binance previously announced, funds remaining on the SEBC exchange will be automatically converted to Japanese Yen. Accordingly, from June onwards, the funds will be in the users’ bank accounts. With the shrinking regulatory environment, Bitcoin exchange Binance is looking for different solutions. In this context, the exchange’s strategy to expand its global reach is to acquire local legal entities. Binance made a similar move in Singapore in 2021. On the other hand, he did it in 2022 in Malaysia and most recently in Thailand. Binance ceased operations in Japan in 2018 after failing to obtain a regulatory-free license.
Bitcoin exchange Binance will not provide derivatives services in Japan, according to a notice on its website. The global version of Binance will not accept new derivative accounts from users in the country. In addition, residents of Japan using the global platform will not be able to increase or open new option positions after June 9th. The exchange announced that pending orders will be cancelled. He also said that existing positions should be closed before June 23. There will be no trading or subscription to Binance Leveraged Tokens.
There is also a statement by the company on the subject. The Bitcoin exchange says it plans to continue enriching its service offerings in Japan in the future. He also emphasizes that they will likely work closely with regulators to offer derivatives services in a fully compliant manner. As we cover as Kriptokoin.com, Japan was one of the first countries to implement crypto regulations. The laws contributed to the rapid recovery of funds in February at FTX Japan, a subsidiary of the bankrupt crypto exchange FTX. Japan’s regulations require crypto exchanges to separate client funds from other assets.
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