KuCoin, Bybit, Bitget Removed From Japan’s Apple App Store as Crackdown Intensifies

Apple has blocked the download of several foreign crypto exchanges from the Japanese App Store. This means that Japanese users won’t be able to download these platforms’ applications on the App Store.

CoinPost’s investigation discovered that on Thursday, February 6, Bybit, Bitget, MEXC, and KuCoin applications could not be searched for or downloaded from the Japanese App Store.

“As a result of our investigation, when trying to access the App Store pages of these apps, an error message appears saying ‘Cannot connect to iTunes Store,’ or the page remains stuck in the ‘Connecting…’ state and the user is unable to proceed,” CoinPost said.

Unregistered Operations

This action come a week after Japan’s Financial Services Agency (FSA) requested that Apple and Google block download access to these apps for Japanese users, citing unregistered operations in the country.

In November 2024, the FSA issued warning letters to five crypto exchanges, KuCoin, Bitcastle, Bybit, MEXC, and Bitget. The agency cited concerns over unregistered crypto asset offerings to Japanese residents.

Regulatory Compliance

The action is part of a broader initiative to ensure that all foreign crypto asset providers adhere to national regulations, protecting Japanese users against potential financial risks associated with unregulated crypto services.

Japan has emerged as one of the countries with the most developed regulatory frameworks for crypto. Since recognizing Bitcoin as legal property in 2017, Japan has mandated all crypto exchanges to register with the FSA before offering services to investors in the country.  This registration ensures compliance with strict anti-money laundering (AML) and know-your-customer (KYC) regulations.

Japan’s emphasis on regulation is primarily driven by consumer protection. After high-profile incidents like the 2014 Mt. Gox hack, the country amended its laws to include more stringent oversight. Exchanges in the country are now required to separate customer funds, conduct regular financial audits, and provide compensation in case of insolvency or security breaches.

Meanwhile, in another development, Japan is moving to treat cryptocurrencies like financial assets, which will help lower the tax rate on the former.