Crypto Company Coinbase Ceases Operations in Japan
Cryptocurrency platform Coinbase has decided to stop operations in Japan due to the market volatility for digital assets, the company reported on Thursday.
The company notified that customers in Japan would have until February 16 to withdraw their holdings from the platform, either by moving to another wallet or liquidating the portfolio and withdrawing their yen to a bank account.
“It has been a difficult decision to make in light of market conditions,” Coinbase reported on its blog.
It assured that all its clients will be able to withdraw their assets “as soon as possible” as it had segregated the yen and relevant assets in accordance with the law.
The platform’s cessation of activities in Japan coincides with another crypto exchange, Kraken, announcing a stop in operations in the country on January 31.
Cryptocurrency markets are going through troubled times due to the fall in the value of these assets, caused by the raised interest rates and the collapse of major players in the sector.
In this context, platforms such as Coinbase, Crypto.com and Huobi have announced cuts in their workforces, which had increased during the covid-19 pandemic.
Coinbase went public in April 2021 with an evaluation of $85 billion, although its price has plummeted nearly 90% since then.