Crypto Exchange Kraken to Close Operations in Japan

By Dean Seal

Crypto exchange Kraken will close operations in Japan next month as this year's crash in crypto prices continues to roil the digital-asset industry.

The company said in a blog post Wednesday that it plans to deregister from Japan's Financial Services Agency on Jan. 31 and stop serving clients through its Japanese subsidiary, Payward East.

Kraken attributed the decision to both a weakening global crypto market as well as tough market conditions in Japan, saying the resources needed to grow its business in the country aren't justified at this time.

Customers have until Jan. 31 to withdraw their fiat and crypto holdings from Kraken's platform. The ability to make deposits will be suspended on Jan. 9.

The move comes less than a month after Kraken cut about 30% of its workforce amid drops in trading volumes and new customer accounts. Chief Executive Jesse Powell said at the time that Kraken had exhausted other cost-cutting efforts.

Write to Dean Seal at [e-mail]

(END) Dow Jones Newswires

12-28-22 0747ET