• Kraken, a cryptocurrency exchange, will be deregistering from the Financial Services Agency in Japan at the end of January.
• Kraken users in Japan have until the end of January to withdraw their fiat and crypto holdings.
• The decision was prompted by the current market conditions in Japan in combination with a weak crypto market globally.
Kraken, a cryptocurrency exchange, announced plans to deregister from the Financial Services Agency in Japan and cease operations in the country as of January 31. This decision was prompted by the current market conditions in Japan in combination with a weak crypto market globally.
Kraken users in Japan have until the end of January to withdraw their fiat and crypto holdings, with the option of transferring crypto to another wallet or wiring Japanese yen to a local bank. The company is prioritizing resources and investments to ensure the long-term stability of the exchange.
The decision to leave Japan comes after the departure of Kraken’s co-founder, Jesse Powell, from his role as CEO in September. He was replaced by Chief Operating Officer Dave Ripley. In November, Kraken cut 30% of its global workforce as the crypto market continued to stagnate following the collapse of rival exchange FTX.
Kraken’s departure from Japan is part of a larger trend of cryptocurrency exchanges leaving the country due to regulatory issues. It is unclear how this move will affect the Japanese crypto market in the long run, but it is certain that the exchange’s exit will have an impact on the industry.