Why Is Bitget Exiting Japan and Ending Services for Local Users by Year-End?

Cryptocurrency exchange Bitget has announced its withdrawal from the Japanese market, confirming that it will gradually discontinue services for residents of Japan as the country continues to tighten oversight of digital asset platforms.

Under the transition plan, the exchange has already stopped accepting new registrations from users residing in Japan. Existing accounts will begin facing restrictions from November 1, while any open trading positions remaining after December 31, 2026, will be automatically closed.

Phased Exit for Japanese Users

Bitget said users who believe they have been incorrectly identified as Japanese residents must complete Level 2 identity verification, including proof of address, before November 1.

Accounts that fail to complete the verification process by the deadline will be treated as belonging to Japanese residents and will be subject to the planned service restrictions.

The exchange added that affected users will receive detailed instructions by email outlining how to withdraw assets and manage their accounts during the transition period.

Regulatory Pressure Builds

The decision follows several years of scrutiny from Japan's Financial Services Agency (FSA), which requires cryptocurrency exchanges serving Japanese residents to register under the country's Payment Services Act.

The regulator issued warnings to Bitget in March 2023 and again in November 2024, alleging that the company had been providing crypto-related services to Japanese users without obtaining the required authorization.

In June 2025, Japan's Kanto Local Finance Bureau, part of the Ministry of Finance, also issued a warning to BTG Technology Holdings Limited, identifying it as operating under the Bitget brand while allegedly soliciting online over-the-counter cryptocurrency derivatives transactions without registration.

Japan is widely regarded as one of the world's most tightly regulated cryptocurrency markets, with exchanges required to meet strict standards covering capital requirements, custody arrangements, consumer protection, and anti-money laundering controls before receiving approval to operate.

Yen Volatility Adds to Market Challenges

Bitget Japan’s departure also comes during a period of heightened volatility for Japan's currency markets.

In recent weeks, the Japanese yen weakened toward multi-decade lows against the U.S. dollar, prompting Japanese authorities to intervene in foreign exchange markets in coordination with the United States to stabilize the currency.

While Bitget has not linked its decision directly to currency conditions, the combination of stricter regulatory requirements and broader market uncertainty has increased operating challenges for international digital asset firms serving Japan.

A Broader Industry Trend

Bitget's exit reflects a broader trend among global cryptocurrency platforms navigating increasingly fragmented regulatory frameworks across major jurisdictions.

For exchanges seeking access to Japan's market, the choice increasingly comes down to investing in full regulatory compliance or withdrawing from the country altogether.

For existing Bitget users in Japan, the transition period provides several months to close positions or transfer assets before the exchange completes its withdrawal at the end of the year.