April 1, 2023

Cryptocurrency exchange Coinbase says it is ending operations in Japan

Cryptocurrency exchange Coinbase Global Inc. announced on Wednesday that it was ending its operations in Japan due to unstable market conditions. All Coinbase Japan customers will have until February 16 to withdraw their fiat and crypto holdings, the company said in a blog post.

Coinbase's decision to exit came just afterweeks after rival exchange Kraken said it would also cease operations in Japan this month. Several companies have been hit by a decline in investor appetite for cryptocurrencies after major exchange FTX exploded in September. Rising interest rates and fears of an economic downturn have also put pressure on the crypto industry as investors flee risky assets.

The failures of the cryptocurrency sector continued inthis year, accompanied by falling deposits, layoffs and numerous legal hurdles. Coinbase, Crypto.com and Huobi have announced plans to lay off about 20 percent of their employees, and a source told Reuters earlier this month that Genesis has also laid off 30 percent of its employees.