Crypto Exchange Gate.io Ceases Japan Operations, Here’s Why

by

As a long-term crypto investor with a deep understanding of the industry and its regulatory landscape, I find these recent announcements from Gate.io and OKX concerning but not entirely unexpected. I’ve seen how regulatory compliance has been a major challenge for many exchanges, especially in jurisdictions like Japan and Nigeria.

Starting from July 22, 2024, I, as an analyst, can report that Gate.io has made an announcement regarding the discontinuation of their services in Japan. They have stated this action is necessary to adhere to local financial regulations. Consistent with our commitment to upholding international laws, this decision aligns with Gate.io’s longstanding policy.

Gate.io Ends Services for Japanese Customers

Starting from July 22, 2024, Gate.io has halted the registration of new individual accounts from Japan. This action is part of an ongoing process to comply with Japanese financial regulations and align the company with applicable legal standards.

For users in Japan utilizing Gate.io, please manage your accounts accordingly as we prepare to discontinue our services. To facilitate a smooth transition, Gate.io intends to help you move your transactions to regulated Japanese cryptocurrency exchanges.

Beginning July 22, 2024, the cryptocurrency exchange Gate will cease operations in Japan and will no longer accept new registrations for Japanese residents. To facilitate a smooth transition, they have initiated a legal compliance program aimed at assisting customers in transferring their transactions to other crypto platforms.

— Wu Blockchain (@WuBlockchain) July 22, 2024

During the process of making a seamless shift, Gate.io will carry out the following steps: The platform will eliminate Japanese descriptions and restrict Japanese language options, doing so only when necessary during this transition. In addition, the exchange will provide details regarding the services that have been halted, the relocation strategy for the impacted assets, as well as the digital currencies subjected to FSA’s compliance directives.

If you have a question or encounter any problems while using Gate.io, please reach out to our dedicated support team for assistance. We regret any inconvenience this may cause and remain committed to adhering to all applicable regulations in every market we serve.

Gate.HK Ceases Operations

Simultaneously, Gate.io’s Hong Kong branch, Gate.HK, has ceased its operations. The exchange has withdrawn their applications for licensing under the Securities and Futures Ordinance (SFO) and the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO).

Starting from May 28, 2024, no new user registrations were allowed and all existing tokens were delisted, bringing a halt to trading activities. Users have been granted until August 28, 2024, to withdraw their assets from the platform.

This modification is included in a significant overhaul of our platform, intended to enhance security and adhere to regulations. We strongly recommend that users wind down their positions and transfer their funds prior to the specified deadlines to prevent any interruptions.

OKX’s Exit from Nigeria

As a analyst, I can confirm that OKX announced its withdrawal from Nigeria by August 16, 2024. Consequently, new trading activities or utilization of other services will no longer be available for Nigerian users. However, they are still permitted to withdraw their funds and close any existing positions.

As a researcher, I’d advise that if you hold open positions on OKX and wish to avoid having them automatically liquidated due to expired timelines, it is essential to follow the platform’s instructions for closing those positions and initiating asset withdrawals well before the stipulated deadlines.

The regulatory challenges facing cryptocurrency exchanges continue to be a significant hurdle, causing some companies to abandon their applications in various regions. However, there are persisting efforts from organizations like Crypto.com, Bullish, and Matrixport to secure licenses in places such as Hong Kong.

Spot Ethereum ETF: Here Is The Last Sign To Watch Ahead of Launch

Read More

2024-07-22 21:56