Kraken, a global cryptocurrency exchange, has made the decision to suspend its operations in Japan for the second time. The company cites the pressure on its resources as the main motivating factor for this decision.

In a blog post published on December 28, Kraken announced that it had made the decision to deregister from the Financial Services Agency and end its operations in Japan by January 31, 2023. The company explained that this decision was made as part of an effort to prioritize their resources and investments.

Payward Asia Inc., Kraken’s wholly owned subsidiary, is in charge of the operation of the exchange that serves Japanese customers.

The same subsidiary firm worked in Japan from 2014 until 2018, when it decided to stop doing business there so that it could focus its efforts and resources more effectively on expanding to other regions of the world.

This subsidiary made the decision to relaunch in October 2020, establishing its headquarters in Tokyo and starting spot trading of five main assets, thinking about future expansion plans.

The second iteration of this process has now been completed, and Kraken has committed to ensuring that all affected customers have the opportunity to withdraw their cash from the exchange no later than January 31. All trade related activities will continue. operate normally, despite the fact that deposits will be prohibited.

In January, the withdrawal limitations will be lifted and a procedure will also be put in place that will allow users to claim their staked Ether. More information about this process will be made public in the near future.

In recent weeks, it seems that Kraken’s main goal has been to reduce its operating expenses.

In response to challenging market circumstances, Kraken said on November 30 that it has made one of its “toughest decisions” by deciding to reduce the number of employees it employs globally by around 1,100 people, which is comparable to thirty percent of its total. staff.

The exchange said that declining trading volumes and fewer customer registrations led Kraken to make the decision to cut expenses, and that adjustments were necessary to support the company in the long term.