Japanese digital asset trading platform Tao Tao has completed negotiations with Binance, postponing the cryptocurrency exchange’s plan to launch trading services for users in the Asian country.
According to Tao Tao’s post on October 5, the platform said it “decided to end negotiations” with Binance after nine months. Binance is discussing cooperation with the digital real estate trading platform and Z Holdings subsidiary, Z Holdings, formerly known as Yahoo Japan, starting January 17 as part of its goal of entering the Japanese market. The digital asset trading platform is currently licensed by the State Financial Services Agency (FSA), while Binance is not.
Tao Tao did not give details on how the negotiations will end, but a spokesman told Cointelegraph Japan that the platform “cannot agree on a strategy” with Binance.
In January, the stock exchange announced that it would restrict access to Japanese residents on an unspecified date in response to the country’s growing number of regulations. Binance used to be headquartered in Japan after it left China in 2017, but it took less than a year before it moved to Malta.
The move follows Japanese regulators at the Financial Services Authority, which issued a warning for the stock exchange in 2018 to operate without a license. In addition, from the second quarter of 2020, changes to the rules of the code came into effect through the Japan Payment Services Law and the Financial Instruments and Exchange Law.
In the midst of these regulatory changes, BitMEX stopped providing services to Japanese residents in May. However, Kraken announced in September that it would return to the country two years later after regulators authorized its Japanese subsidiary Payward Asia to act as a crypto service provider.