Japan has issued a cautionary alert regarding a cryptocurrency exchange in a country where digital currencies are capturing significant attention.
The Japanese Financial Services Agency (FSA) has raised concerns about LBank Exchange, an offshore platform that is operating without proper registration. The FSA highlighted that LBank Exchange has an “unknown address” and an “unknown agent,” engaging in online cryptocurrency trading with Japanese residents without meeting the necessary regulatory standards. This violation of operational guidelines, which aim to safeguard investors, has prompted the warning from the FSA.
Despite being a relatively small to mid-sized exchange, LBank Exchange ranks 56th in terms of 24-hour spot trading volume according to the CoinGecko database. However, its lack of transparency and regulatory adherence has sparked unease among Japanese authorities.
This is not the first time that the FSA has cracked down on unregistered exchanges. Earlier, the agency had issued warnings to other companies like Bybit Fintech Limited, MEXC Global, Bitget Limited, and Bitforex Limited for offering cryptocurrency services without proper registration. These warnings have resulted in restrictions on accessing and trading on these platforms from Japan.
Investors are advised to exercise caution and conduct thorough research before engaging in cryptocurrency trading. For those interested in investing in over 300 cryptocurrencies, registering with Binance exchange offers a 20% commission discount. Stay informed with exclusive news, analytics, and on-chain data by following our Telegram and Twitter accounts.
