The announcement of the collapse of FTX, and in recent days the bankruptcy of BlockFi, are some of the cases that show the crisis of cryptocurrencies. While some crypto companies fall, others take the opportunity to expand, such is the case of Binance.
Binance, the world’s largest trading volume crypto exchange, has acquired Sakura Exchange Bitcoin, a Japanese exchange company.
With this acquisition, Binance wants to indirectly enter the Japanese market through an entity that has the authorization of the Japan Financial Services Agency, a vital factor for them to operate.
In July 2022, Binance attempted this acquisition but was warned by the Japanese authorities that operations with clients in that country were unauthorized.
This was the second warning, since in 2018 it had received a similar notice. It is estimated that the purchase price would be lower than it would have been on the two previous occasions, before the crypto market entered the crisis it is currently in.
Binance’s expansion comes in an environment where cryptocurrency giants are having serious problems and, in the worst case, going bankrupt.
FTX and BlockFi are not the only cryptocurrency companies that have collapsed. Another known case is that of Genesis Global Trending, which long ago also paused the withdrawals of funds for presenting an “abnormal volume that exceeds liquidity”. This company depended on the 3AC fund, one of the most important in the world, which, given the collapse of the Terra USD stablecoin, also began to have a great impact on its structure.
Editorial Team The editorial team of EMPRENDEDOR.com, which for more than 27 years has worked to promote entrepreneurship.