• Kraken has announced that it will be exiting Japan and deregistering from the Financial Services Agency as of Jan. 31.
• The decision was prompted by „current market conditions in Japan in combination with a weak crypto market globally,“ the company said in a blog post on Wednesday.
• Kraken users in the country have until the end of next month to withdraw their fiat and crypto holdings, with the option of transferring crypto to another wallet or wiring Japanese yen to a local bank.
Kraken, a major cryptocurrency exchange, has announced that it will be exiting Japan and deregistering from the Financial Services Agency as of Jan. 31. This decision was made in response to „current market conditions in Japan in combination with a weak crypto market globally,“ according to a blog post released by the company on Wednesday.
Kraken’s Japan-based customers will have until the end of next month to withdraw their fiat and crypto holdings. They have the option of transferring their crypto to another wallet or wiring Japanese yen to a local bank. The company is encouraging its customers to do so as soon as possible in order to avoid any potential delays in the withdrawal process.
The decision to withdraw from Japan follows the departure of Kraken’s co-founder and former CEO, Jesse Powell, in September. He was replaced by Chief Operating Officer Dave Ripley. In November, Kraken took the unfortunate decision to cut 30% of its global workforce in response to the continuing stagnation of the crypto market, following the collapse of rival exchange FTX.
Kraken is now looking to prioritize resources and investments in order to ensure the long-term stability of the exchange. It is hoped that this decision will enable the company to continue providing quality service to customers without the distraction of attempting to remain operational in Japan.