Asian exchanges are tightening up! Coinbase paves the way for expansion in Asia, joining Japan's Virtual Currency Self-Regulatory Organization and applying for a trading license.

The leading U.S. cryptocurrency exchange, Coinbase, has joined the Japan Virtual and Crypto Assets Exchange Association (JVCEA) as a second-class member. Although Coinbase has not yet obtained a license to operate legally in Japan, it seems to be gradually realizing its expansion plans.

Coinbase has applied for registration in Japan

Reports indicate that the association is a self-regulatory organization for cryptocurrency companies in Japan. According to JVCEA, second-class members are companies that are "applying for or planning to apply for registration as a virtual currency exchange under Article 63-3 of the Payment Services Act."

Coinbase announced its plans to enter Japan as early as 2016. In 2018, the exchange appointed Nao Kitazawa, a former Morgan Stanley Japan branch employee, as the head of its local office. At that time, Coinbase expressed confidence in obtaining a license in Japan by the end of 2019, but it did not materialize.

In contrast to Coinbase's route, popular messaging app LINE launched BITMAX in 2019, approved by the Financial Services Agency (FSA) in Japan, and recently closed its cryptocurrency exchange BITBOX in Singapore to introduce a new trading platform BITFRONT in the United States.

Expanding Global Business Presence

In addition to promoting cryptocurrency trading, Coinbase is also expanding its custody business. Earlier reports indicated that Coinbase announced the establishment of a new department, Coinbase Custody International, Ltd, in Ireland to expand its international custody business.

Since 2018, Coinbase Custody has been serving many European countries such as the UK, Switzerland, Germany, Finland, and the Netherlands, with the establishment of international custody services aimed at comprehensive coverage of European users.

Furthermore, one of Coinbase's competitors, Fidelity Digital Assets, expanded its custody and trading services to Europe in December last year. The company provides custody services for Bitcoin and is currently considering launching Ethereum-related services based on customer demand.

Related Reading

• LINE Launches New Trading Platform BITFRONT in the U.S., LN Token Soars 160%
• Coinbase Granted Major Membership Status by Visa, Pushing for Cryptocurrency Financial Cards to Become Mainstream

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