• Kraken will exit Japan and deregister from the Financial Services Agency as of Jan. 31.
• Kraken users in the country have until the end of next month to withdraw their holdings.
• The company is prioritizing resources and investments to ensure the long-term stability of the exchange.
Kraken, a leading cryptocurrency exchange, recently announced that it will be exiting Japan and deregistering from the Financial Services Agency as of January 31st. The decision to leave the country was prompted by “current market conditions in Japan in combination with a weak crypto market globally,” according to a blog post from the company.
Kraken users in Japan have until the end of next month to withdraw their holdings. Cryptocurrency can be transferred to another wallet or Japanese yen can be wired to a local bank. The exchange is also taking steps to ensure its long-term stability, with a focus on resource and investment prioritization.
The announcement follows the departure of Kraken’s co-founder, Jesse Powell, from his role as CEO in September. He was to be replaced by Chief Operating Officer Dave Ripley. Additionally, in November, the company cut 30% of its global workforce in light of the crypto market’s continued stagnation following the collapse of rival exchange FTX.
The decision to exit Japan is a major move for the exchange, and Kraken is hoping that its focus on long-term stability will help it remain a leader in the cryptocurrency market. As more countries continue to regulate cryptocurrencies, exchanges will need to move quickly to adjust to the changing laws and regulations. Kraken’s decision is a sign that the exchange is ready to take on the challenge.