Kraken Exchange is going away from Japan

San Francisco-based exchange Kraken declared that it would stop servicing to Japan residents: it will stop accepting deposits by the middle of this month
07 May 2018   1669

Trade for existing customers in Japan will be suspended in mid-June, and these customers must withdraw their funds by the end of this month. Kraken entered the market in October 2014. Last month it said: “IIT is impractical to continue service for Japan residents.”  

The 13th biggest stock exchange in the world did not go into details about why it is leaving Japan, but income does not seem to be a problem. The price of Bitcoin now vacillates around 9,000 dollars, which is less than half of the historical maximum achieved in December. But the daily trading volume in Bitcoin, which is necessary for the exchange, has not gained a corresponding decrease.

The market supposes that the costs connected with compliance with the new rules in Japan are the main reason for the abandonment of Kraken. The Japanese crypto  community was stressed by a shock in January, when Coincheck incured a record hack, losing NEM coins at $ 530 million. On April 16 Monex Group purchased Coincheck for 33 million dollars. Later Coincheck declared that for the fiscal year to March operating gains were $ 491 million. And that’s letting the fact that it compensated users 47.3 billion yen ($ 432 million) for hacking NEM.

Because Japanese regulators started to seriously conduct this industry, commercial cryptocurrency exchanges in the country launched a self-regulatory body to restore the traders` trust. Though Coincheck’s profit displays that the exchange of cryptocurrencies can be highly profitable. 

Suspending services for Japan residents will allow us to better focus on our resources to improve in other geographical areas. After we have had a chance to better catch to our rapid growth, we will consider the possibility of resuming service for Japan residents
Kraken, 
US-based Cryptocurrency Exchange

The protection of retail investors is the highest priority for regulators, when new forms of assets begin to work. Despite this Asian regulators need to find a balance before more exchanges lose patience and flee to other regions.

Bitwise to Withdraw Bitcoin ETF Application

The application was filled a year ago, company met with regulator 8 times and prepared more than 500 pages of documents
15 January 2020   152

Bitwise Asset Management, a digital asset management company, has withdrawn an application to launch a Bitcoin-linked exchange-traded fund (ETF).

On Tuesday, Bitwise sent a notice to the US Securities and Exchange Commission (SEC), where it announced that it had made such a decision "in the public interest and investor protection."

We did indeed withdraw the application. This is a procedural step, and we intend to refile our application at an appropriate time.

 

Matt Hougan

Global head of research at Bitwise

He also noted that his firm is currently “working hard” to answer the SEC questions in the 112-page commentary on the initial application.

We remain fully committed to the development of a bitcoin ETF.

 

Matt Hougan

Global head of research at Bitwise

Bitwise has applied for the launch of the Bitcoin ETF in January 2019. Since then, the company met with the regulator eight times and prepared 500 pages of documentation with arguments in favor of approving its proposal.