Bybit Halts New Japanese Registrations Amid FSA Oversight

Published: 2025-10-31 00:16:48 |

Bybit will suspend new user registrations from Japanese residents effective October 31, 2025 at 12:00 UTC, responding to tighter FSA oversight and upcoming crypto regulation in Japan. Existing accounts retain full trading access as Bybit reviews local compliance requirements under the amended Financial Instruments and Exchange Act. The decision follows FSA warnings in 2021 and 2023, and the FSA’s establishment of the Crypto Assets and Innovation Division in August 2025. Bybit’s move also builds on post-hack compliance measures, including proof-of-reserve reporting and third-party audits. Traders should watch FSA regulation updates and Bybit’s compliance roadmap for potential effects on market liquidity and exchange accessibility.

Neutral

This decision to suspend new Japanese registrations may temporarily reduce liquidity on the Bybit platform and affect trading volumes in Asia’s second-largest market. However, it does not directly alter the fundamentals or adoption of any specific cryptocurrency. As Bybit maintains services for existing Japanese users and plans to resume registrations once compliant, market impact is expected to be short-term and limited, making the overall effect neutral.