Crypto Exchange Kraken Plans To Cease Operations In Japan

Crypto Exchange Kraken Plans To Cease Operations In Japan

cryptocurrency exchange
April 17, 2018 by Bitzamp
4478
Crypto Exchange Kraken Plans To Cease Operations In Japan Kraken, one of the largest existing cryptocurrency exchanges, has just announced that it will cease operations in Japan by the end of June but it may come back in the future. This announcement has been due to higher operating costs, and Japan’s growing regulation of the
Bitzamp

Crypto Exchange Kraken Plans To Cease Operations In Japan
Kraken, one of the largest existing cryptocurrency exchanges, has just announced that it will cease operations in Japan by the end of June but it may come back in the future.

This announcement has been due to higher operating costs, and Japan’s growing regulation of the cryptocurrency market may also have been a factor. Although the exchange said they could re-enter the country in the future.

In a report by Bloomberg, Kraken said:

Suspending services for Japan residents will allow us to better focus on our resources to improve in other geographical areas. This is a localized suspension of service that only affects residents of Japan and does not impact services for Japanese citizens or businesses domiciled outside of Japan.

With a cost of $ 190 million in the last 24 hours, Kraken is ranked number ten worldwide according to data from Coinmarketcap.com. The exchange can be operated in Japan without a license, but there has been a change. The Financial Services Agency (FSA) of Japan has tried to adjust the regulation to increase investor security.

Japan has for a long time been seen as one of the friendliest countries when it comes to trading cryptocurrencies but recently the country has experienced numerous troubles from fraudulent ICOs to hacks of crypto exchanges where many investors have lost their money. Coincheck is a good example of a crypto exchange hack that lend to the loss of more than $500 million of investors’ money.
Policymakers have remained firmly supportive, however, and are moving to regulate new exchanges, rather than banning them outright. Earlier this month, they took the first step toward legalizing initial coin offerings, a controversial fundraising technique outlawed in places like China and South Korea.


Join Us On Telegram


 

Add a Comment