Binance, the world’s largest cryptocurrency exchange, encountered significant regulatory scrutiny this year, with regulators in various countries either taking action against the exchange or filing lawsuits. However, Japan appears to be more receptive to Binance, as it is welcoming the exchange. More recently, it was confirmed that Binance Japan will make its debut in August.
Changpeng Zhao, the CEO and founder of the firm made an appearance through video at a conference in Tokyo, where he confirmed that all services on the platform would go live, starting next month. Back in April, Sakura Exchange BitCoin [SEBC], a platform acquired by Binance, announced its intention to introduce a new service, Binance Japan. This was expected to debut after June. Subsequently, it came to light that SEBC will discontinue its current services by May 31 and undergo a rebranding process to become Binance Japan.
It’s worth mentioning that the exchange has been absent from the Japanese market for about five years. However, during his recent appearance at the conference, CZ expressed his admiration for Japan, including its cuisine, people, and environment. He also praised the country for being a frontrunner in the Web3 regulatory landscape.
Furthermore, the cryptocurrency trade volume in the region experienced a remarkable 60% increase last month compared to the beginning of 2023. With Binance poised to enter the Japanese market in the coming month, it is anticipated that this move will further boost the trading volume in the region. This would further make Japan a key player in the cryptocurrency industry.
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Here’s what to expect from Binance Japan
SEBC users will need to undergo registration with Binance Japan. The migration process will be accessible after Aug. 1, 2023. This will involve a new identity verification system to meet local regulations. As disclosed by Binance earlier, any remaining funds on the SEBC exchange will be automatically converted to Japanese yen. It will then be transferred to users’ bank accounts.
Furthermore, Binance made it clear that it will not offer derivative services in Japan. As a result, Japanese users will not have access to the derivative services available on the global platform. Residents in Japan who use the global platform were given until June 9 to increase or initiate new options positions. After that date, such actions were no longer allowed, and the exchange stressed that pending orders would be canceled. Users were urged to close all existing positions before June 23. Additionally, Binance Leveraged Tokens will not be available for trading or subscription in Japan. Nevertheless, the exchange stated,
“In the future, we plan to continue to enrich our service offerings in Japan and will work closely with regulators to possibly provide derivatives services in a fully compliant manner.”
Also Read: ‘Binance JAPAN’ to Debut in June 2023