Facing Mounting Regulation, BitMex Closes Japan Service

BitMex, one of the world’s biggest crypto derivatives exchanges, announced on April 28 that it will close services to Japan residents starting May 1 amid new Japanese regulations.

Earlier this month, the Japanese Cabinet decided in the Cabinet Order to establish regulations on any crypto derivative and fund procurement transactions. The notice explained that:

“The restrictions are in response to the amendments to the Japan Financial Instruments and Exchange Act and Japan Payment Services Act effective as of 1 May 2020.”

All traders will be affected

The restriction will apply to both existing Japanese users and those registering for the first time. Japanese traders will no longer be able to place orders on BitMex until further notice. The notice explained that:

“Japan residents will not be able to place orders that would open a new position or increase an existing open position. Open positions will otherwise not be affected and will continue in accordance with the terms of the relevant contract.”

As Cointelegraph reported previously, The PSA and FIEA were two of the pieces of legislation passed by the Japanese House of Representatives last year. These changes would be enforced on the first day of next month.