Japan’s Financial Services Agency (FSA) has asked Apple and Google to suspend downloads of five unregistered cryptocurrency exchanges, reinforcing its strict regulatory stance on digital asset trading in the country. The move affects major centralized exchanges (CEXs), including Bybit Fintech, MEXC Global, LBank Exchange, KuCoin, and Bitget.
Japan Tightens Crypto Regulations
The FSA clarified that the action is not aimed at shutting down crypto investing but rather at enforcing compliance among exchanges operating in Japan. The regulator emphasized the need to draw a clear regulatory line to protect investors and ensure market stability.
According to a Feb. 7 report by Nikkei, Apple acted swiftly on the FSA’s request, removing the apps from its App Store on Feb. 6, preventing Japanese users from downloading them. Google’s response to the request has not yet been disclosed.
Japan’s Cautious Approach to Crypto
Unlike Hong Kong, which has approved Bitcoin (BTC) and Ethereum (ETH) spot ETFs, Japan remains wary of crypto market volatility and the risks associated with digital assets. This latest move underscores the country’s commitment to regulatory oversight, ensuring only compliant exchanges operate within its jurisdiction.
Not a Clampdown, But a Compliance Push
Industry experts believe the FSA’s actions do not signal a broad crackdown on retail crypto investing but rather a push to ensure exchanges meet regulatory standards before offering services in Japan.
While the affected exchanges have yet to comment publicly, this regulatory intervention reinforces Japan’s strict oversight of cryptocurrency platforms, signaling that compliance is non-negotiable for firms looking to operate in the country.
