Japan's FSA Orders Apple, Google to Remove Unregistered Crypto Exchanges

Japan's Financial Services Agency (FSA) has requested Apple and Google to remove five unregistered crypto exchanges from their app stores. The FSA claims that these exchanges have not met compliance requirements despite previous warnings.

The exchanges in question are KuCoin, Bybit, Bitget, MEXC Global, and LBank Exchange. Several of these platforms have been attempting to reach compliance in other jurisdictions.

According to local reports, the FSA has asked Apple and Google to block downloads for these five exchanges. The regulator had previously warned these businesses about failing to comply with registration requirements.

Despite this crackdown on unregistered exchanges, Japan has actually made several recent overtures to the crypto industry. For example, the FSA began reviewing crypto tax laws last year in an attempt to lower them. Lawmakers have also started advocating for a Bitcoin Reserve, and some ETF issuers believe a Bitcoin ETF is nearing approval.

However, the regulator cannot ignore flagrant violations like these exchanges were committing. It seems that none of the firms in question made any attempt to reach compliance since the warning in September.

Only Bybit has released a statement, claiming that it is continuing to offer services to Japanese language users and is committed to working closely with the authority to meet local regulatory expectations. However, the firm's statement seems to ignore the problem outright.

It's unclear how long these exchanges will be banned in Japan or if they're even interested in returning. This incident will serve as one more data point in a sordid chart of fines, bans, and criminal charges.