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Bybit’s temporary halt of new Japanese user registrations indicates that top crypto exchanges are prioritizing regulatory alignment, setting the stage for greater institutional confidence and long-term legitimacy in the digital asset space.
Bybit Pauses Japan Signups to Align With Regulatory Standards
Global cryptocurrency exchanges are continuing to adjust their operations to comply with evolving regulatory standards. Bybit announced on Oct. 30 that it will temporarily pause new user onboarding in Japan. The company said the move is intended to align its business with the requirements of Japan’s Financial Services Agency (FSA) as part of its ongoing review of digital asset regulations.
Bybit stated: “It has always been Bybit’s commitment to operate responsibly and in compliance with local laws and regulatory expectations.” The company added:
This decision will allow Bybit to focus its efforts and resources on reviewing local regulatory requirements and evaluating how to best meet the standards outlined by Japanese authorities in the future.
The suspension, effective Oct. 31 at 12 p.m. UTC, will prevent Japanese residents and nationals from creating new accounts while the exchange evaluates its local framework.
Existing users in Japan will not be affected by this change, and all current services will continue without disruption. Bybit noted that any future adjustments will be communicated in advance. The company expressed appreciation for its Japanese customers’ understanding and reiterated its intent to ensure operations are consistent with local regulations. The move reflects a broader trend of exchanges reassessing regional compliance requirements, as digital asset firms increasingly navigate varying regulatory expectations across global markets.