HitBTC Cryptocurrency Exchange Platform Shuts Down Its Operations in Japan

HitBTC cryptocurrency exchange platform has suspended its services for investors residing in Japan. This decision was taken in order to avoid any problems with the country’s cryptocurrency regulation. Indeed, the latter did not authorize HitBTC to operate in Japan and users with Japanese IP addresses will be asked to provide information about their residence as part of the customer identification procedure (KYC). This will also identify investors who do not live in Japan.

HitBTC services shut down its operations in Japan

HitBTC, the 8th largest cryptocurrency exchange platform in the world, according to CoinMarketCap, has announced the suspension of its services for Japanese residents.

On its website, the Hong Kong-based company has added a new section entitled “Restriction of Services”, under the “Terms of Use” section.

For example, there can be read that “you must not use our services and immediately stop using them if you are a resident of a country where HitBTC is not authorized to operate.”

The company said that if the platform detects the use of its services from an IP address registered in Japan it will be asked to confirm if the user does not reside in Japan. Another publication was made by the company confirming the suspension of its services in Japan.

The decision came in respect with the cryptocurrency regulations adopted by Japan

The Japanese payment services law regarding the cryptocurrency regulations, which caused HitBTC cryptocurrency exchange platform to end its services on the Asian country’s territory, came into force in April.

This regulation legalizes cryptocurrencies but it also requires that all cryptocurrency exchange or trading companies operating in Japan to be registered with the country’s financial authority, the FSA.

To date, 16 platforms for the cryptocurrency exchange activities have received an operating license. They were thus authorized to operate in Japan.

The Japanese financial regulator has also warned some companies that continue to operate in Japan without such authorization, and HitBTC was one of them.

Jackson Bey

Jackson Bey was born and raised in Lethbridge Alberta but moved east when he was 22. Apart from running his own consulting firm. Jackson spends his time canoeing the many lakes of Ontario. As a financial journalist Jackson has published stories for CBC Business Online, as well as Buzz Feed and Motherboard. As a contributor to Billionaire 365, Jackson mostly covers markets and trade.

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