Bybit and Bitget have both officially announced that they are ending their services for residents of Japan. Based on a notice dated 22 December 2025, Bybit notified users that Japan-resident accounts would switch to close-only mode on 23 March 2026 and that open positions would be force-liquidated on 22 July 2026 (dates confirmed via press reports). Bitget, in a notice dated 3 August 2026, stopped new registrations for Japan residents that same day, and says it will restrict trading from 1 November 2026 and force-liquidate any remaining positions from 31 December 2026.
This article sets out the deadlines from both companies' official notices, the FSA warnings against unregistered operators behind them, points to check before moving assets to another exchange, and tax points around the move and settlement. It is not a recommendation to switch to any particular exchange, and it notes that MEXC and BingX, both listed on this site, are also unregistered with the FSA.
Bybit and Bitget's Japan exit schedule: how long can you withdraw?
The schedule based on both companies' notices is below. In both cases, whether a user counts as a 'resident of Japan' is determined by their identity-verification (KYC) information; anyone who has not completed address verification (KYC level 2) by the deadline is treated as a resident of Japan.
| Date | Bybit | Bitget |
|---|---|---|
| 22 December 2025 | Publishes 'Important Notice for Residents of Japan'. Account restrictions phased in from 2026 | — |
| 22 January 2026 | Deadline for completing KYC level 2 (address verification). Users who have not completed it are treated as Japan residents | — |
| 23 March 2026, 12:00 JST | Moves to close-only mode. No new positions or additions allowed. Withdrawals continue | — |
| 22 July 2026, 12:00 JST | Force-liquidates any remaining open positions. After this, only asset conversion and withdrawal remain available | — |
| 3 August 2026 | — | Publishes 'Important Notice: Important Information for Residents of Japan'. Stops new registrations for Japan residents the same day |
| 1 November 2026 | — | Deadline for the KYC level 2 (address verification) determination. Phased restrictions (close-only) applied to affected accounts |
| From 31 December 2026 | — | Force-liquidates any remaining open positions at market price. States crypto-asset withdrawals remain available from 31 December onward |
※ Sources: Bybit, 'Important Notice for Residents of Japan' (22 December 2025); Bitget, 'Important Notice: Important Information for Residents of Japan' (3 August 2026). Access to Bybit's notice text is restricted from within Japan, so this site confirmed the publication date on the official page and the dates of each phase (23 March and 22 July) from a CoinPost report (January 2026) on the notice sent to users. Neither company states a final withdrawal deadline, so follow each company's notices and in-app guidance first.
Both companies state that crypto-asset withdrawal continues after trading is stopped (close-only) and positions are force-liquidated. However, neither has announced a final withdrawal deadline, nor when the account itself will be closed. Anyone still holding a position should settle it themselves before forced liquidation, and it is safer to move assets without waiting for a deadline.
Why are they exiting? The FSA's unregistered-operator warnings and the joint warning of November 2024
Both companies explain the exit as 'part of efforts to comply with Japanese regulation'. The background is that under Japan's Payment Services Act, anyone conducting crypto-asset exchange business with residents of Japan needs registration with the FSA (a Local Finance Bureau); an overseas-based operator is treated the same way if it serves Japan residents over the internet.
| Operator (name as listed) | Location (as listed) | When warnings were listed |
|---|---|---|
| Bybit Fintech Limited (Bybit) | Dubai (November 2024) / Singapore (2021, 2023) | Three times: May 2021, March 2023, November 2024 |
| Bitget Limited (Bitget) | Republic of Singapore | Twice: March 2023, November 2024 |
| KuCoin | Republic of Seychelles | November 2024 |
| bitcastle LLC | Saint Vincent and the Grenadines | November 2024 |
| BingX | — | Not listed |
※ Source: FSA, 'Names, etc. of parties conducting unregistered crypto-asset exchange business' (PDF). The list notes that 'a party not listed may still be conducting activity that falls under unregistered exchange business'.
In November 2024, warnings were issued around the same time against several overseas exchanges, including Bybit, Bitget, KuCoin and bitcastle. It was Bybit's third warning and Bitget's second. An FSA warning publishes the fact that an operator is 'conducting crypto-asset exchange business without registration'; it does not penalise users. However, from an exchange's point of view, continuing to serve Japan residents after repeated warnings can affect the review of registrations and licences it seeks in other countries, which is one factor pushing exchanges to drop Japan residents.
Five things to check before moving assets to another exchange
When moving assets away from an exiting exchange, rushing to choose a destination risks repeating the same problem. Before choosing where to move assets, check the following in order.
- Whether the destination is on the FSA's list of unregistered operators that received warnings, and if so, how many times. Even an exchange not on the list is still outside Japan's domestic investor-protection system
- Whether Japan is listed as a prohibited or restricted region in the destination's terms of service and disclaimer. If it is, assume the same 'ending service for Japan residents' could happen there later
- Whether the operating entity's name, location and proof-of-reserves (PoR) status are disclosed. If the operating entity can only be confirmed from the terms of service, it is harder to identify who you would deal with in a dispute
- The network (chain) you will send on, and the minimum withdrawal amount and withdrawal fee. Also check the exiting exchange's withdrawal limits and KYC-level requirements first
- Whether the products you plan to use at the destination (spot, futures, copy trading) are offered to residents of Japan. Regional service restrictions differ by exchange
MEXC and BingX, both listed on this site, are also unregistered with the FSA. BingX is not on the list as of 16 September 2026, but that does not mean it is 'safe'. What each exchange's status has been confirmed to be is set out in the column and exchange page below.
Can Japanese residents use BingX? FSA warning status, restricted regions and operator information →
Settlement, transfers and tax around the exit: forced liquidation is also taxable
Tax is easy to overlook amid the operations involved in an exit. Based on the National Tax Agency's FAQ, the treatment is as follows.
| Operation | Income tax treatment |
|---|---|
| Settled it yourself | The gain or loss on each settlement is miscellaneous income (aggregate taxation). Futures are not eligible for FX-style separate self-assessment taxation (FAQ 2-12) |
| Forced liquidation | Treated the same as settling it yourself: the gain or loss at settlement becomes income. Whether it was forced or voluntary does not change the treatment |
| Converted to USDT, withdrew | An exchange between crypto assets counts as a disposal; the difference between market value at the time of exchange and acquisition cost is income (FAQ 1-3) |
| Sent crypto as-is | A transfer that does not change ownership is not a disposal, so no income arises. Keep the acquisition cost carried forward |
| Converted to yen, bank withdrawal | The gain or loss at the time of sale is income. Via a domestic exchange, a record remains in Japan |
※ If a loss arises, a loss from miscellaneous income cannot be offset against other income (FAQ 2-11) and cannot be carried forward to later years either. It can be offset against other crypto profit in the same year.
Once an account is closed, it may become impossible to obtain past fills, settlements and deposit/withdrawal history. Save the records you will need for your 2026 return (16 February – 15 March 2027) as CSV files without waiting for the deadline. Whether you need to file and the applicable rate are covered in 'How much crypto profit is taxed in Japan?'
How much crypto profit is taxed in Japan? The ¥200,000 rule and tax-rate table →
Frequently asked questions
Q. How long can I withdraw from Bybit during its Japan exit?
A. Bybit notified users that Japan-resident accounts would move to close-only mode on 23 March 2026 and that open positions would be force-liquidated on 22 July 2026 (dates confirmed via press reports). Its notice says asset conversion and crypto-asset withdrawal continue afterwards, but no final withdrawal deadline is stated. Because the timing of the account's closure is also not stated, it is safer to move assets early.
Q. When does Bitget's Japan exit start?
A. Bitget announced the end of its service for Japan residents on 3 August 2026 and stopped new registrations that day. Users who have not completed KYC level 2 (address verification) by 1 November 2026 are treated as Japan residents, and trading restrictions apply to them from that date. Any positions remaining after 31 December 2026 will be force-liquidated. Crypto-asset withdrawal is stated to remain available from 31 December onward.
Q. Why are Bybit and Bitget exiting Japan?
A. Both describe it as part of efforts to comply with Japanese regulation. In Japan, conducting crypto-asset exchange business with residents of Japan requires FSA registration, and Bybit received unregistered-operation warnings in 2021, 2023 and 2024, while Bitget received them in 2023 and 2024 (FSA's list of unregistered operators).
Q. Is a force-liquidated gain or loss also taxed?
A. Yes. A forced liquidation by the exchange is treated the same as settling the position yourself: the gain or loss at settlement becomes miscellaneous income under aggregate taxation. A loss cannot be offset against other income and cannot be carried forward to the following year, but it can be offset against other crypto profit in the same year (NTA FAQ 2-11, 2-12).
Q. Is simply sending assets to another exchange tax-free?
A. A transfer that does not change ownership — moving to another account or wallet of your own — is not a disposal, so no income arises. However, exchanging into another crypto asset such as USDT before the transfer is taxable at the time of exchange (NTA FAQ 1-3). Keep the acquisition cost carried forward after moving.
Q. Could MEXC or BingX also exit Japan the same way?
A. It cannot be ruled out. BingX was not on the warning list as of 16 September 2026. Neither is registered with the FSA, and each company's policy on serving Japan residents can change at its own discretion, so not concentrating assets in one place and periodically saving your transaction history are sensible precautions.
Sources
- Bybit | Important Notice for Residents of Japan (22 December 2025) (Japanese) →
- CoinPost | Bybit to phase out services for Japan residents, close-only from late March (January 2026 report on the notice sent to users; Japanese) →
- Bitget | Important Notice: Important Information for Residents of Japan (3 August 2026) (Japanese) →
- FSA | List of unregistered overseas operators that received warnings (PDF, Japanese) →
- Financial Services Agency (Japan) | Crypto assets: registered operators, warnings to unregistered operators →
- National Tax Agency (Japan) | Tax treatment of crypto assets, etc.: FAQ, last revised December 2025 (PDF, Japanese) →
FX Textbook is an independent information site, not an exchange or a provider of personal investment advice. Crypto-asset trading involves risk: price volatility, liquidation of leveraged positions, transfer mistakes and the operational risk of exchanges and service providers can cause you to lose some or all of your invested capital. No result is guaranteed.
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