Binance ties up with Yahoo! Japan subsidiary to operate a separate exchange in the country

Quick Take

  • Binance has partnered with Yahoo! Japan subsidiary and local crypto exchange TaoTao
  • The trio will operate a licensed crypto exchange in the country
  • The news follows Binance’s move to gradually stop serving Japanese residents on its main platform

Cryptocurrency exchange Binance has partnered with Z Corporation, a wholly-owned subsidiary of Yahoo! Japan, to set up a separate platform in the country.

TaoTao, a Japanese licensed crypto exchange and a portfolio company of Z Corporation, is also joining the initiative, Binance announced Friday. Z Corporation reportedly also has a 40% stake in crypto exchange BitARG Exchange Tokyo.

As part of the partnership, the trio will operate a licensed crypto exchange in Japan. Z Corporation and TaoTao will collaborate with the country's financial regulator, the Financial Service Agency (FSA), to ensure compliance.

It is mandatory for crypto exchanges operating in Japan to be licensed by the FSA since they are regulated by the country’s Payment Services Act.

Just earlier this week, Binance said it will implement a “gradual restriction of trading functions” for Japanese residents “at a later date,” indicating that it will operate a separate exchange in the country.

THE SCOOP

Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy
By signing-up you agree to our Terms of Service and Privacy Policy

Today’s news confirms the development. Binance’s Japan move strikes a resemblance to its U.S. initiative. Last year, the exchange first stopped serving U.S. residents, and then came back a few months later with a new exchange dedicated to the U.S. market, Binance.US.

For the U.S. launch, Binance partnered with a little-known Californian-registered firm BAM Trading Services.

Binance hasn’t yet provided timeline details for its Japan launch. The exchange has reportedly also set up a separate entity, Binance LTD, in South Korea.


© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

About Author

Yogita Khatri is a senior reporter at The Block, covering all things crypto. As one of the earliest team members, Yogita has played a pivotal role in breaking numerous stories, exclusives and scoops. With nearly 3,000 articles under her belt, Yogita holds the records as The Block's most-published and most-read author of all time. Prior to joining The Block, Yogita worked at crypto publication CoinDesk and The Economic Times, where she wrote on personal finance. To contact her, email: [email protected]. For her latest work, follow her on X @Yogita_Khatri5.