Binance set to reenter Japanese crypto market
Terrill Dicki Apr 29, 2023 10:49
Binance is set to reenter the Japanese crypto market after acquiring the regulated crypto exchange platform, Sakura Exchange Bitcoin (SEBC). The SEBC platform will terminate its current crypto exchange and brokerage services by May 31, 2023, and reopen as Binance Japan in June. Binance had to fold its Japan operations in 2018 after regulatory warnings, but has since mended relations with regulators and reentered other markets through acquisitions.
Binance, one of the most prominent cryptocurrency exchanges in the world, is planning to make a comeback to the Japanese cryptocurrency market after its recent acquisition of the licensed cryptocurrency trading platform Sakura trading Bitcoin (SEBC). Binance's purchase of SEBC was finalized in November 2022, and the company plans to rebrand the SEBC platform as the Japanese version of Binance in June 2023.
A story that was published in a regional daily said that SEBC would stop providing its existing cryptocurrency exchange and trading services on May 31, 2023. The message did not include an announcement about a date for the formal debut of Binance Japan. Users of the SEBC exchange have until the deadline of May 28, 2023 to remove their cash from the exchange. By the 5th of June, any funds that are still present in these accounts will be automatically converted into Japanese yen and transferred to the users' respective bank accounts. Users of the Japanese version of the cryptocurrency exchange Binance will soon be required to go through updated identity verification and Know Your Customer checks.
Nearly five years have passed since Binance's initial attempt to obtain an independent license in Japan was unsuccessful. The company has now reentered the Japanese market through an acquired entity. In 2018, Binance was forced to halt its operations in Japan after receiving warnings from banking officials that it was doing business without proper regulatory permission. However, the exchange platform has been successful in mending its relations with regulators and returning to other markets through the acquisition of stakes in regulated entities.
Binance was able to successfully rejoin the Malaysian cryptocurrency market by obtaining a share in a regulated exchange platform. This occurred prior to Binance's comeback into the Japanese market. The stock exchange also reentered the market in Singapore by purchasing an 18% interest in a stock exchange that is regulated. In a similar manner, the cryptocurrency platform was able to get access to the sterling payment network in the United Kingdom via a collaboration with Paysafe, despite the fact that authorities had denied the platform access to the same network.
Japan was one of the first countries to implement cryptocurrency rules, and its regulatory standards have always been seen as being particularly stringent. Nonetheless, the country has since loosened some of the regulatory requirements that must be met by cryptocurrency platforms, making it simpler to list new cryptocurrency tokens. Binance's reintroduction into the Japanese market is a major milestone in the cryptocurrency industry of that nation, and it emphasizes the need of regulatory compliance for enterprises that operate in this area.
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