Coinbase Stops Japan Operations, Directs Customers to Withdraw Holdings
Popular cryptocurrency exchange Coinbase Global Inc., has requested its Japanese clients to withdraw their cryptocurrency and fiat balances by February 16 as it suspends activities “to undertake a full examination” of its operations in Japan.
After February 16, Coinbase will exchange any leftover cryptocurrency assets for Japanese yen and transfer any leftover yen “to a Guaranty Account at the Legal Affairs Bureau in compliance with legal regulations,” according to a blog article published on Wednesday.
Clients in Japan who want to restore their balance must then cooperate with the Legal Affairs Bureau.
The business noted that fiat deposit feature would be eliminated on January 20. Since 2022, the corporation has been cutting personnel. In June, almost 18% of its worldwide staff was laid off. As portion of a “additional reorganization strategy,” it laid off an additional 950 people earlier in January, or around 20% of its total employment.
After the downfall of FTX in November, the world’s second-largest cryptocurrency exchange by transaction volume, Coinbase has joined other cryptocurrency exchanges in slashing personnel and operating expenses.
Tuesday’s closing price on the Nasdaq for Coinbase stock was US$54.14, 8.32% higher than Monday’s. However, Wednesday’s pre-market trading saw a loss of approximately 1.48%.