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Bybit to Phase Out Services for Japanese Residents Starting in 2026

Regulatory pressure from Japan’s FSA is forcing unregistered exchanges to retrench.

Overview

  • Bybit said it will discontinue services for residents of Japan, introducing rolling account restrictions beginning in 2026.
  • Users automatically flagged as Japan-based must complete Identity Verification Level 2 by January 22, 2026 to avoid being treated as Japanese residents.
  • Bybit is not registered with Japan’s Financial Services Agency, which has issued repeated warnings over the exchange’s unlicensed operations.
  • Regulatory enforcement escalated in 2025 as the FSA asked Apple and Google to block downloads of unregistered exchange apps, and Bybit paused new Japanese sign-ups in October.
  • Bybit is shifting focus to jurisdictions with clearer pathways, securing a UAE SCA licence and reentering the U.K. via an Archax-approved promotions arrangement.