Binance to begin operations in Japan after June
In November 2022, Binance bought the Sakura Exchange BITCoin (SEBC). According to the media, on May 31, SEBC will cease its work, and a platform under the temporary name Binance Japan will be launched. Sakura Exchange asks its users to withdraw funds by May 28. At the moment, the platform supports operations with 11 trading pairs.
The personal data of SEBC’s clients will not be transferred to the new platform, so users will have to complete the verification procedure again. The start date of Binance Japan may be postponed due to the fact that the company must first register with the Financial Services Agency of Japan (FSA) in order to be eligible to provide crypto services and products on the local market.
The Japanese authorities carefully regulate the work of crypto platforms. The authorities require the assets of exchanges and clients to be separated, and most of the exchange assets must be stored in hardware wallets. Unlike hot wallets connected to the Internet, hardware wallets are isolated from the network. This ensures increased security of customer funds.
In 2018, the Financial Services Agency of Japan issued the first warning to the company, as it operated in the country without a licence. In 2020, Binance stopped providing services to Japan’s residents. Now Binance is returning to Japan through the company acquisition almost five years after its first application for an independent licence was rejected.
Binance has previously faced compliance issues in more than ten countries around the world, but the company’s management managed to settle with regulators.