Binance purchases a licenced Japanese cryptocurrency exchange
In the previous year, Binance expanded its services by either gaining an operating license or purchasing a share in a regulated firm.
Cointelegraph Japan revealed that cryptocurrency exchange Binance intends to join the Japanese market after purchasing 100 percent ownership in a licensed crypto service provider in the nation.
Binance CEO Changpeng Zhao said in a public release on November 30 that the cryptocurrency exchange was dedicated to reentering the Japanese market within regulatory compliance.
Regarding the significance of the most recent purchase, a Binance representative informed Cointelegraph: “The purchase of SEBC is Binance’s first license in East Asia, and since Asia is a promising market, we intend to grow into other areas.”
After receiving a warning from the FSA for operating without a license, Binance ceased operations and aims to build a headquarters in Japan in 2018. The Japanese authorities issued a similar warning to the cryptocurrency exchange in 2021.
Binance’s purchase of a regulated business to join a crypto market in which it has found it impossible to independently get a license is not unprecedented. Binance rejoined the Malaysian market after obtaining a share in a regulated organization.
In a similar fashion, the exchange reentered the Singapore market by acquiring an 18% interest in a regulated stock exchange.
Cointelegraph contacted Binance to inquire if the exchange had also filed for a license in Japan, but a representative refused to comment.
When it comes to instituting rules for the purchase and sale of virtual currencies, Japan was an early leader among major economies. Although stringent, the Japanese approach to cryptocurrency laws was generally admired, and the G20 consulted Japan on global crypto criteria.
Recently, Japan has further relaxed its regulatory policies to promote and facilitate the growth of cryptocurrency firms and has made it simpler to list coins.