- Binance is all set to enter the Japanese cryptocurrency market after a break of four years
- The exchange acquired Osaka-based Sakura Exchange BitCoin, a crypto exchange with full regulatory compliance
The world’s largest crypto exchange, Binance, is set to re-enter the Japanese crypto market four years after it exited the country following a fallout with local financial regulators.
Binance and its latest Japanese acquisition
Binance acquired Sakura Exchange BitCoin, an Osaka-based crypto exchange that is registered with the Japanese Financial Services Agency (JFSA). Binance’s 100% stake in the JVSA licensed local exchange will enable the exchange to enter Japan with full regulatory compliance. However, the value of the deal has not been disclosed.
Sakura Exchange BitCoin, headquartered in the Japanese city of Osaka, was set up in 2017 under the name Xtheta. Furthermore, data from Crunchbase showed that the exchange was acquired by Kakao Piccoma in April 2022 for an undisclosed sum.
According to a statement by Binance, this move marks the exchange’s first license in East Asia.
“The Japanese market will play a key role in the future of cryptocurrency adoption. As one of the world’s leading economies with a highly-developed tech ecosystem, it’s already poised for strong blockchain uptake. We will actively work with regulators to develop our combined exchange in a compliant way for local users” said Takeshi Chino, General Manager of Binance Japan.
Sakura Exchange currently supports 11 trading pairs including BTC/JPY, ETH/JPY, BCH/JPY, XRP/JPY, LTC/JPY and ETC/JPY.
Alas, after 4 long years
Binance exited the island nation back in 2018 after the Financial Services Agency ordered the exchange to suspend its operations in Japan. In a formal warning, the regulator alleged that Binance violated the country’s rules on fund settlement. This was because it did not have the necessary registration to operate in Japan.
The exchange received a similar warning from the Japanese financial regulator in 2021 and reiterated that it did not have permission to operate in the country.
Changpeng Zhao has undertaken a global expansion campaign, and has been meeting with several government agencies for the same. Recently, Binance received approval from Cyprus to operate as a digital asset service provider.
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