Bybit is pausing new user growth in Japan to focus on meeting evolving FSA regulations, prioritizing compliance over expansion amid potential crypto market reforms.
Bybit announced it will suspend new account registrations in Japan from October 31 at 21:00 local time to comply with Financial Services Agency guidelines. In a press release dated October 30, the exchange said it is redirecting resources toward a comprehensive internal review to meet the FSA’s stringent and evolving regulatory expectations. Existing Japanese users can continue to use their accounts for now, though future restrictions remain possible. This decision comes as the FSA considers reforms that may allow banks to hold Bitcoin and run licensed exchanges, potentially changing Japan’s cryptocurrency market dynamics.