Is Binance Cryptocurrency Exchange Facing Regulatory Issues in Japan?. As reported on an article from Coingeek.com by Erik Gibbs late last week, Binance continues to face some regulatory issues in the country of Japan. Also, this goes back to the country’s Financial Services Agency (FSA) determination that the cryptocurrency exchange was operating without a proper business license. The result could be a slap on the wrist by Japan’s FSA. However, as first reported by Japan news outlet ‘Nikkei,’ it could be forced to shut down operations. The news report stated that the warning from the FSA first came on March 7. Binance’s CEO, Changpeng Zhao quickly went into damage control by denying that his company was ever contacted by the FSA.
Is Binance Cryptocurrency Exchange Facing Regulatory Issues in Japan?
Going back to that March 7 date, the report on Coingeek states that Binance users started to notice some odd activity with their accounts. Once these issues surfaced through user reports, Binance took the proper steps to disable any withdrawals to launch an investigation into the matter. After denying that its system had been hacked, the top brass at Binance admitted that this was the case and began to reverse any unauthorized transactions that had taken place
In January 2018 Coincheck Was hacked
Going back to January of this year when Coincheck was hacked, the FSA started a full-scale inspection into all of Japan’s cryptocurrency exchanges. Some stole an estimated $723 million in tokens. In one single transaction on Ripple, $123 million in tokens had disappeared. Coincheck is another cryptocurrency exchange that was not registered with the FSA.
Nikkei Showed Irresponsible Journalism
Returning to CEO Zhao’s initial response to the news report on Nikkei, he was quoted as saying, “Nikkei showed irresponsible journalism. We are in constructive dialogs with Japan FSA and have not received any mandates. It does not make sense for JFSA to tell a newspaper before telling us, while we have an active dialo