- May 2, 2023
- Posted by: [email protected]
- Category:
Binance, a major cryptocurrency exchange, has acquired Sakura Exchange Bitcoin (SEBC), a licensed crypto exchange platform in Japan, signalling its re-entry into the Japanese crypto market. Binance previously failed to obtain an independent license in Japan in 2018, resulting in the folding of its operations in the country. However, Binance managed to acquire SEBC in November 2022, and it will terminate its current exchange and brokerage services by May 31 to reopen as Binance Japan after June 2023, according to a local report. The new entity will require users to undergo new identity verification and Know Your Customer checks.
SEBC users must withdraw their funds by May 28, after which any remaining funds will be automatically converted to Japanese yen and transferred to users’ bank accounts by June 5. Binance has faced regulatory compliance issues in several countries, but it has managed to mend its relationships with regulators. In some countries where it has struggled to obtain an independent license, Binance has re-entered these markets by acquiring stakes in regulated entities.
Before re-entering the Japanese market, Binance re-entered the Malaysian crypto market after acquiring a stake in a regulated exchange platform. The exchange also re-entered the Singapore market with an 18% stake in a regulated stock exchange. Similarly, the crypto platform managed to access the UK’s sterling payment network through a partnership with Paysafe, despite regulators declining access to the same.
Japan was one of the first nations to introduce crypto regulations, and its regulatory requirements were considered strict at the time. However, the country has since eased regulatory demands for crypto platforms, making it easier to list new crypto tokens. Binance’s acquisition of SEBC may be a sign of the exchange’s increased willingness to work with regulators and comply with regulatory requirements in the countries where it operates.
