Long-lived San Francisco-based crypto exchange decides to cease trading with clients based in the country.
Kraken, a large west-coast American crpytocurrency exchange established in 2011, has said that it will cease trading in Japan – at least geographically. A statement from the firm, as reported by Bloomberg, cited rising costs of doing business in the country as the reason for its retreat. It also said, however, that it can – and will – continue to offer its services to Japanese citizens and businesses, providing they are domiciled outside of the country.
The move appears to be in response to Japanese authorities’ decision to tighten control in the cryptocurrency sector, following a series of problems with exchanges in the country. These date back to issues with Mt.Gox in 2014, through to the recent hack at Coincheck, and have ultimately led to large fines and warnings to several echanges operating there. It even extended to two services, FSHO and Bit Station, being told to shut down for a month in order to bring their operations into line. Despite these issues, Japan remains one of the fervently pro-crypto societies, with participation in the market high and rising – especially among younger generations.
Kraken began trading in Japan back in October 2014. Its service there will end, we’re told, some time in June.