Close Menu
    Track all markets on TradingView
    Economy and markets

    Bybit Suspends New User Sign-Ups in Japan to Comply with Financial Services Authority Regulations

    wsjcryptoBy Nessun commento2 Mins Read

    “`html

    Bybit, the globe’s second-largest cryptocurrency exchange by trading volume, has stated it will suspend new user registrations in Japan commencing Oct. 31, as it adjusts to new regulations from the nation’s Financial Services Agency (FSA).

    The firm indicated that this action is part of its “proactive strategy” to conform with Japan’s evolving regulatory framework for digital assets, as stated in a Wednesday announcement.

    “Bybit has consistently pledged to operate responsibly and comply with local regulations and expectations,” the exchange remark.

    Current Japanese users will remain unaffected for the time being, with all existing services continuing to function. Bybit mentioned that it will provide additional updates as negotiations with regulators advance.

    Leading exchanges by market capitalization. Source: CoinMarketCap

    Related: Circle’s Arc draws in South Korea’s initial won-backed stablecoin initiative

    Japan’s FSA considers permitting banks to hold Bitcoin

    Recently, it was reported that the FSA is contemplating regulatory changes that would enable banks to acquire and hold cryptocurrencies such as Bitcoin (BTC) and manage licensed crypto exchanges.

    The proposition will be evaluated in an upcoming Financial Services Council assembly, aimed at aligning digital assets with conventional instruments like stocks and government securities.

    The FSA is anticipated to create a framework addressing risks linked to crypto price volatility, possibly necessitating banks to fulfill new capital and risk-management criteria before holding digital assets. This initiative could pave the way for broader institutional adoption within Japan’s regulated banking landscape.

    Cointelegraph reached out to Bybit for input but had not received a reply by the time of publication.

    Related: Japanese mega banks to collaboratively issue yen-pegged stablecoin: Report

    Japan’s regulations spur crypto exodus

    In July, Maksym Sakharov, co-founder and CEO of decentralized on-chain bank WeFi, informed Cointelegraph that Japan’s regulatory hurdles, not taxes, are the actual reason behind the exodus of crypto innovation from the nation.