Binance has expanded its operations significantly over the past year by acquiring operating licenses or buying shares in regulated companies.
Cryptocurrency exchange Binance plans to enter the Japanese market again after acquiring 100% of the country’s licensed crypto service provider, Cointelegraph Japan reported.
In a public announcement on November 11. On Jan. 30, Binance CEO Changpeng Zhao said that the crypto exchange is ready to re-enter the Japanese market in compliance with regulations. The acquisition of Sakura Exchange BitCoin (SEBC), a company authorized by the Japan Financial Services Agency, will mark the return of the global exchange to the Japanese market after four years. Commenting on the significance of the new acquisition, a Binance spokesperson told Cointelegraph:
“We can say that the acquisition of SEBC shows Binance’s first ability in East Asia, and since Asia is a potential market, we hope to expand to other regions.”
Binance had to close its operations and plans to open a headquarters in Japan in 2018 after the FSA notice to operate without a license. The Japanese government warned of another crypto exchange in 2021 for similar reasons. Binance’s acquisition of a regulated company to enter the crypto market while struggling to get a license on its own is nothing new. Initially, Binance managed to enter the Malaysian market after acquiring a stake in a controlling company. Similarly, the exchange re-entered the Singapore market with an 18% share in the restructuring. The crypto exchange managed to gain access to the UK’s payment network through a partnership with Paysafe after regulators denied access to it. Cointelegraph reached out to Binance to find out if the exchange has also applied for an independent license in Japan, but a spokesperson declined to comment.
Japan is considered one of the first crypto countries to introduce some form of regulation and trading of crypto assets. Although tough, Japan’s approach to cryptocurrency regulation has been widely accepted, and the G20 countries have challenged the country regarding global crypto parameters.
Recently, Japan is simplifying its regulatory framework to promote crypto startups and allow them to thrive and make listing coins easier.
Get $200 Free Bitcoins every hour! No Deposit No Credit Card required. Sign Up