Binance struggling with regulatory problems in Japan, the cryptocurrency exchange will block access to Japanese traders
Binance struggling with regulatory problems in Japan, the cryptocurrency exchange will block access to Japanese traders

By Roberto D. | CryptoFarm | 17 Jan 2020


The news came from yesterday and was published on the Japanese binance website, for which it is official; the cryptocurrency exchange, on the podium of the largest platforms for volumes traded globally, has communicated that it intends to limit access to its platform to traders residing in Japan; at present no further details are known, not even a date from which the block will become operational has been provided, explanations of any kind have been provided on the reasons that led the exchange to make this decision.

However, it is plausible that behind the choice to limit access to Japanese traders to their platform there are legal problems arising between Binance and the Japanese regulatory authorities; as is known, in fact, to operate legally in the country it is necessary to obtain a special license; this, in the past, had led the exchange to abandon the country (where it had its registered office) for the benefit of Malta, the country where binance moved its base.


In Japan, however, there are already several platforms that have obtained the license to operate in the country, Huobi, for example, has been operating legally for a year now while BitBox, an exchange owned by the telecommunications giant LINE, received it last September ; pending binance to officially explain the reasons for his choice, therefore, we just have to think that, obviously, the exchange has not been able to obtain the license for problems that must have seemed insurmountable since, instead of trying to comply to the regulators' requests, he preferred to exit the Japanese market by preventing Japanese users from trading.

As reported by Cointelegraph, in any case, binance is not the first exchange platform to have this kind of problems in Japan, even before it had happened to Kraken (one of the oldest platforms in circulation) which in fact left the country of the rising sun a couple of years ago.

As far as user operations are concerned, at least for now, nothing has changed yet, traders resident in Japan still have access to their accounts pending binance to communicate the date by which they will have to empty them, however, as we always remember on these occasions , those who want to continue using the exchange can do so simply by using a VPN to access the platform also because, as is known, binance is one of those platforms which, up to certain amounts, continues to grant the possibility of operating anonymously.


Roberto D.
Roberto D.

Born in Italy, I live in Italy, passionate about cryptocurrencies since I discovered ethereum in 2015


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