Bybit will stop providing services to Japanese residents in January, bowing to relentless pressure from financial regulators.

When users with Japanese IP addresses access the Bybit website, they are confronted with a message that reads: “Service not available in your country/region.”

“As part of Bybit’s proactive efforts to comply with Japanese regulations, we have decided to terminate services for customers residing in Japan,” the exchange said in an announcement reported by the Japanese media outlet CoinPost.

“Please note that if you are a Japanese resident, your account will be subject to gradual account restrictions starting in 2026.”

The move comes after years of pressure from the Financial Services Agency, or FSA, Japan’s top financial regulator, which has previously forced the likes of Binance to stop accepting customers with Japanese addresses.

A gradual exit

Bybit said that if users have been mistakenly identified as Japanese residents, they should update or complete proof of address checks “to ensure continued access.”

“Please note that if you do not complete [these checks] by January 22, 2026, you will be considered a Japanese resident,” Bybit warned.

The FSA last year issued a third official warning to Bybit, along with the rival exchanges KuCoin, Bitcastle, MEXC, and Bitget.

The regulator’s first warning to Bybit came in May 2021, with a second caution following in March 2023.

The exchange has responded with a gradual retreat from the Japanese market, removing its app from Japanese stores in February and suspending new account registrations in October.

Following the FSA’s move to regulate exchanges in 2017, the regulator has been waging war on overseas trading platforms that accept customers from Japan by offering Japanese-language services.

Regulator’s threats

In 2018, the FSA threatened Binance with legal action if it did not comply with its regulations. Binance has since responded by buying an FSA-issued operating permit-holding Japanese exchange.