Cryptocurrency Exchange Hitbtc Suspends Services in Japan

[emrah0406]

Hitbtc has suspended its services for Japanese residents to avoid any trouble with the country’s financial regulator since it is not authorized to operate in Japan. Users with Japanese IP addresses will be asked to provide their residency information within the exchange’s know-your-customer (KYC) procedure to prove they are not residents of Japan.
details of news ; https://news.bitcoin.com/cryptocurrency-exchange-hitbtc-suspends-services-japan/

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[stompix]

Oh, what a surprise...coming from hitbtc
I just love it how Japan seems to be the best country in the world when it comes to crypto but all exchangers fail to meet the laws, so they decide to run in countries where there is no regulation. 

And hitbtc with their track record will soon have to ban half of the world from their platform if they do live that long.
Binance, Hitbtc...who's next?

[Veterock]

I've respected Hitbtc! Up to this moment))

[bigmaster23]

It seems hard to find the ideal trading site for Japanese people meting such criteria really put the owner of the site into flaming fire, debating the cons and pros of ones idea of what benefit it would meet regarding using the site, it always come to this from day to day were all just want sureness in life to put our effort and sweat in safe place to trade with.

[dawsonenzo]

after world war 2 japan recover their problem drastically and they are the most advanced technological country in the world based on this the govt. of Japan also concern about crypto system but HITBTC suspend their services may be there is some reason that’s why but it really disappointing.

[gentlemand]

Oh, what a surprise...coming from hitbtc
I just love it how Japan seems to be the best country in the world when it comes to crypto but all exchangers fail to meet the laws, so they decide to run in countries where there is no regulation. 

And hitbtc with their track record will soon have to ban half of the world from their platform if they do live that long.
Binance, Hitbtc...who's next?

HitBTC does sound like a right shithole but Kraken have also pulled out. I don't think it's necessarily a reflection of how shit you are, more the profit vs compliance costs. Then again HitBTC would never manage to be not shit so it was never happening for them.

[Onatarmedracen]

and it's fair, cos hitbtc is a scam exchange which always has a withdrawal issues, cheating with trading volume etc..japanese people now will be safe

[Eternu]

I guess that problems like this will happen from time to time, until crypto is fully regulated, in the right way of course. As far as I can see, this KYC policy will be trouble for some companies. But who can blame Japan's government,  for trying to fight crime.
Exchange companies will find their way,  they always do.

[zaydenrowan]

after world war 2 japan recover their problem drastically and they are the most advanced technological country in the world based on this the govt. of Japan also concern about crypto system but HITBTC suspend their services may be there is some reason that’s why but it really disappointing.

[Wheelige]

I wouldnt be surprised if they have applied for licences to operate in Japan. The market there is huge and just ruling out that market share is unbelievable. Unless there are some serious regulations about having a homegrown operation or something like that its probably just a matter of time before exchanges get licences to operate in the crypto-land that Japan has become.

[gentlemand]

I wouldnt be surprised if they have applied for licences to operate in Japan.

I think they'd probably be asked questions they have no intention of answering which is why they're leaving Japan.

HitBTC has a lot of question marks around it. Many believe they're part of the a web of companies incorporating Freewallet, Changelly, Minergate and more.

Have a read - https://monero.stackexchange.com/questions/2930/which-entities-are-related-to-bytecoin-and-minergate

[Ilegendph]

Hitbtc has suspended its services for Japanese residents to avoid any trouble with the country’s financial regulator since it is not authorized to operate in Japan. Users with Japanese IP addresses will be asked to provide their residency information within the exchange’s know-your-customer (KYC) procedure to prove they are not residents of Japan.
details of news ; https://news.bitcoin.com/cryptocurrency-exchange-hitbtc-suspends-services-japan/

I believe that is still a good thing that their government still monitors exchanges to protect their citizen from potential fraud. If Hitbtc doesn't comply with the existing rules and regulation of Japanese government then they must take actions. Besides, Hitbtc is not the only they can trade cryptocurrency, so its not a big deal after all. I'm just sad to those japanese people who love and loyal to their services.

[pooya87]

Oh, what a surprise...coming from hitbtc
I just love it how Japan seems to be the best country in the world when it comes to crypto but all exchangers fail to meet the laws, so they decide to run in countries where there is no regulation. 

And hitbtc with their track record will soon have to ban half of the world from their platform if they do live that long.
Binance, Hitbtc...who's next?

HitBTC does sound like a right shithole but Kraken have also pulled out. I don't think it's necessarily a reflection of how shit you are, more the profit vs compliance costs. Then again HitBTC would never manage to be not shit so it was never happening for them.

but you gotta admit that it looks extremely shady when an exchange is asked to comply with the regulatory rules but instead of doing that they just run the other way and refuse to obey the laws.
i would even consider staying away from any exchange that does that.

[Hydrogen]

I would be interested to know if establishment owned crypto exchanges like poloniex, which were bought by goldman sachs, are allowed to buy/sell crypto in japan while independent exchanges are being denied.

For anyone who owns an independent crypto news website--that could be an interesting and easy to verify story to pursue.

It might also show how "regulation" can be prone towards having an anti small business and anti independent slant if it turned out to be true.

In some cases, private sector entities (perhaps like Hitbtc) are being strong armed by the government. They're legally gagged from mentioning this under an injunction order (gag order) taken against them. If they mention it publicly, they go to jail. So when they say "its not the government who is forcing us to suspend services in this region" it is possible that's 100% untrue.

There are past precedents for this where people are hit with "super injunctions" and unable to mention things without threat of imprisonment:

https://en.wikipedia.org/wiki/List_of_known_legal_cases_involving_super-injunctions

[budismile]

How difficult is the regulation of the existing laws in Japan, so that big markets start to stop the provision of virtual currency exchange service (crypto)?
Japan should be the country that supports the virtual currency in the world. no need to complicate the market exchange.

[gentlemand]

but you gotta admit that it looks extremely shady when an exchange is asked to comply with the regulatory rules but instead of doing that they just run the other way and refuse to obey the laws.
i would even consider staying away from any exchange that does that.

So you''d never consider Kraken? It's the place the Japanese courts entrusted with involvement in the Gox aftermath.

I can't remember the figures for Japanese compliance but it's a lot of money. If you're not likely to make it back then you may as well clear off whether you're legit or not.

And it's not the same as other markets. There are multiple Japanese exchanges that customers are likely to favour that we never hear about. It's worth dipping your toe to pick up a few strays but if you have to lay out vast amounts it won't make much sense if you're gaijin.

[BitcoinHodler]

i had a little amount of funds in my Hitbtc account that i used for trading there and some possible arbitrage opportunities. but ever since i read about this news i have withdrawn all my funds and i am staying away from them for at least some time to see what is going on. i never like exchanges that shy away from regulations.

[gentlemand]

i had a little amount of funds in my Hitbtc account that i used for trading there and some possible arbitrage opportunities. but ever since i read about this news i have withdrawn all my funds and i am staying away from them for at least some time to see what is going on. i never like exchanges that shy away from regulations.

Did you not do your research before putting money on there? No one knows who owns it or where it's based. Regulation aside that's more than enough reason to avoid it, let alone the legions of moans about possible selective scamming.

[stompix]

but you gotta admit that it looks extremely shady when an exchange is asked to comply with the regulatory rules but instead of doing that they just run the other way and refuse to obey the laws.
i would even consider staying away from any exchange that does that.

Then how about Binance?  

March 22:

Contrary to reports from Japanese news outlet Nikkei, Binance has denied rumors that Japan’s Financial Services Authority (JFSA) is planning to issue a warning requiring the cryptocurrency exchange desk to shut down its operation in the country.

March 23:

Cryptocurrency exchange Binance has received a formal warning from Japan’s Financial Services Agency (FSA) for operating in the country without registering with the regulatory agency as a cryptocurrency trading platform.
Binance, the world’s largest cryptocurrency exchange by traded volume, has announced its plan to shift its headquarters to Malta, following an official warning from Japan’s Financial Services Authority for operating without a license.

))))

It's one thing to just run away, but accusing everybody of FUD and lies while you're packing your bags is far worse.

I wonder what is happening in Japan that scares them away, I don't think it's just money, I'll bet it's more that they can't hide some of their dirty business

HitBTC does sound like a right shithole but Kraken have also pulled out. I don't think it's necessarily a reflection of how shit you are, more the profit vs compliance costs. Then again HitBTC would never manage to be not shit so it was never happening for them.

This is from the kraken story

The decision involved careful consideration of revenue against the costs and resources required to maintain service,” the company stated, adding that resources were an especially important consideration during this time in its growth.
......
The government also began suspended operations for two exchanges and warned five others for failing to institute checks and balances in their IT systems that prevented hacks and criminal use of digital money.

No matter how I read it to me it seems like they say they can't offer security for their clients at the level Japan requires so....they will serve only those that don't give a damn about the monthly hack.

[audaciousbeing]

Hitbtc has suspended its services for Japanese residents to avoid any trouble with the country’s financial regulator since it is not authorized to operate in Japan. Users with Japanese IP addresses will be asked to provide their residency information within the exchange’s know-your-customer (KYC) procedure to prove they are not residents of Japan.
details of news ; https://news.bitcoin.com/cryptocurrency-exchange-hitbtc-suspends-services-japan/

Just like the way several crypto currency affiliated businesses refuses to accept US citizens, the same way HitBTC is refusing Japanese people which is the best route to go at this point and I am glad that their legal advisers recommended such for them because what the authority needs is just one probable cause then they unleash their terror on the admin of the site from where ever the site is being hosted from and with bilateral relationships between countries, it won't be too hard to do couple with the amount of resources that would be made available which might led to the end of an established business. The best is to just avoid being in such position.