Japan's Financial Services Agency (FSA) has asked Apple and Google to suspend downloads of apps for five unregistered cryptocurrency exchanges in the country.
Actions by Japan's FSA
The exchanges affected by this measure include companies like Bybit, MEXC Global, LBank, KuCoin, and Bitget. The FSA's request was made last week, resulting in Apple removing the apps from its App Store, thereby preventing Japanese users from downloading them.
Context and Expert Opinions
Japan has adopted a cautious approach to cryptocurrencies compared to other Asian markets. While Hong Kong has already approved the first Bitcoin and Ether exchange-traded funds, Japanese regulators remain cautious of their volatility. Experts suggest this is not a clampdown on retail investing but an emphasis on rule compliance. Anndy Lian highlighted that this demonstrates a focus on consumer protection and market integrity.
Mt. Gox Backstory and Implications
Japan's stringent regulation began after Mt. Gox's collapse in 2014, which resulted in over $9.4 billion in losses for more than 127,000 investors due to a hack. Recently, Mt. Gox completed the distribution of 41.5% of its Bitcoin holdings to creditors, distributing 59,000 Bitcoins.
Japan's actions underline efforts to protect investors and increase the accountability of exchanges operating in their market, urging compliance to avoid past mistakes.
