Binance Returns to Japan After June 2023
Binance is expected to resume operations in the Japanese cryptocurrency market in November 2022, following the acquisition of licensed trading venue Sakura.
Binance will soon recommence operations in Japan after acquiring a locally regulated Bitcoin exchange in November 2022 and leaving the country five years ago due to regulatory pressure.
By acquiring the licensed platform Sakura Exchange BitCoin (SEBC), Binance will regain a stronghold in the Japanese cryptocurrency market. The transaction occurred in late 2022 as part of the company’s strategy for global expansion. According to reports, Changpeng Zhao has acquired 100 percent of SEBC.
Complying with the policies of the watchdog, CZ’s business can now operate as a Japan Financial Services Agency (JFSA)-regulated entity after June 2023. First, on May 31, SEBC will discontinue its current services.
Following this, Sakura will be rebranded as Binance Japan. This will complete the transaction and solidify the company’s re-entry into the Japanese market.
Hitomi Yamamoto, the chief executive officer of SEBC, was delighted about the acquisition and rebranding, stating that Binance’s robust compliance system would contribute to creating a more compliant environment for users in Japan and that the acquisition would assist users in gaining access to the crypto services required for future mass adoption.
SEBC provides its clients with brokerage and consultation services for eleven trading pairings. Given Japan’s crypto listing laws, it is unclear if the new platform will be permitted to list new tokens.
Japan has strict regulations for cryptocurrency exchanges. It necessitates the separation of customer and exchange assets, with the majority of exchange assets held in cold wallets and customers’ fiat held by a Japanese trust company or bank trust. Japan’s exchanges must be approved by the Japan Virtual Currency Exchange Association before listing tokens.