Best Crypto Exchanges in Japan
Explore our top picks for the best crypto exchanges in Japan, offering a blend of security, variety, and ease of use.
Summary: In Japan, engaging in Bitcoin and other cryptocurrency transactions is safest through a local exchange regulated by the Financial Services Agency (FSA) and possessing a Virtual Asset Service Provider (VASP) license. Such platforms provide legal avenues for crypto investments and accept JPY via multiple methods, including bank transfers, Line Pay, credit and debit cards, and other secure payment systems.
For those new to the cryptocurrency scene in Japan, our analysis has narrowed down the top 5 trading platforms. After an exhaustive evaluation, here are the most reliable options:
Get the daily newsletter keeping 200,000 investors ahead of the market.
Best Cryptocurrency Exchanges in Japan
After rigorously analyzing over 15 cryptocurrency exchanges, we have identified the leading platforms serving Japanese investors. Our review process examines critical factors such as adherence to Japan's Financial Services Agency (FSA) regulations, the diversity of cryptocurrencies available, the user interface's effectiveness, methods for depositing Japanese Yen, transaction fees, and other essential features. This methodical evaluation guarantees an in-depth and precise ranking of these exchanges.
1. Bybit
Bybit earns our award as the top cryptocurrency exchange in Japan, tailored to accommodate the distinct preferences of Japanese investors. With a secure platform that hosts over 1,000 cryptocurrencies and adheres to Japan's stringent regulations, Bybit facilitates a seamless entry into cryptocurrency trading. It offers straightforward onboarding with local JPY deposit options, including bank transfers, JCB cards, and Line Pay, simplifying the investment pathway.
The exchange provides a broad spectrum of trading opportunities, from a comprehensive cryptocurrency lineup to staking and futures trading with up to 100x leverage. Bybit's competitive advantages include low trading fees, starting at 0.01% for market makers and 0.06% for takers, substantial liquidity, a daily trading volume that tops $30 billion, and a vibrant community of more than 20 million users globally, confirming its market leadership.
- Fees: Market maker fee of 0.01% and taker fee of 0.06%.
- Supported Cryptocurrencies: Access to a portfolio exceeding 1,000 digital assets.
- Regulation & Licensing: Fully compliant with Japan's regulatory framework for a secure trading experience.
- JPY Deposit Methods: Provides diverse local deposit methods like bank transfers, JCB cards, Line Pay, and others.
.webp)
2. Kraken
Kraken is recognized as Japan's second-leading cryptocurrency exchange, notable for its unmatched liquidity and substantial trading volumes catering to institutional and individual investors. With an impressive quarterly trading volume surpassing $207 billion and over 200 assets available for trading and staking, including key cryptocurrencies like Bitcoin, Ethereum, and Solana, as well as up-and-coming tokens, Kraken stands out.
Its mobile apps, highly rated on both the App Store and Google Play, reflect Kraken's focus on delivering a frictionless trading experience. The exchange's staking service, offering returns of up to 25% APY, further elevates its appeal. Kraken Pro caters to sophisticated and institutional traders with competitive spreads, deep liquidity, and flexible deposit limits, affirming Kraken's reliability as a trading platform.
- Fees: Offers competitive rates with maker fees set at 0.01% and taker fees at 0.02%.
- Supported Assets: Features an extensive selection, including over 200 spot and 100+ margin trading options.
- Regulation & Licensing: Complies with the highest security standards, including proof of reserves.
- JPY Deposit Methods: Enables JPY deposits through all Japanese banks, accommodating bank transfers, debit cards and wire services (e.g. SWIFT).
3. bitFlyer
bitFlyer stands out as Japan's premier local cryptocurrency exchange, leading in Bitcoin trading volumes nationally. It caters adeptly to a diverse user base, from novices to seasoned traders, by providing two tailored trading experiences: the intuitive bitFlyer exchange for beginners and the advanced BitFlyer Lightning for more sophisticated trading strategies.
bitFlyer broadens its appeal with innovative features, including the unique Crypto Credit Card, opportunities to earn BTC, and a T-Point exchange for Bitcoin. These initiatives solidify bitFlyer's reputation as Japan's third-ranked cryptocurrency trading platform, balancing accessibility with depth for a broad spectrum of investors.
- Fees: A flat rate of 1,000 JPY for deposits and withdrawals, with a trading and swap fee of 0.2%.
- Supported Cryptocurrencies: A selection of 19 different cryptocurrencies.
- Regulation & Licensing: bitFlyer is stringently regulated in Japan and is a Platinum member of the Japan Blockchain Association (JBA).
- JPY Deposit Methods: Bank Transfer, Credit/Debit Card, Convenience Store (Konbini) payments, and others.
.webp)
4. Bitbank
Positioned as the fourth most popular cryptocurrency exchange in Japan, Bitbank distinguishes itself with a wider array of tokens compared to BitFlyer. It's recognized for having the highest-rated Crypto trading app in the Japanese Apple App Store. Notably, Bitbank stands out as one of the few digital asset exchanges in Japan offering immediate account verification, often completed within minutes.
In addition to its trading capabilities, Bitbank extends lending services, allowing users to lease their assets to Bitbank for a return yield of 3%, reinforcing its position as the fourth-best cryptocurrency platform in Japan. High evaluation by a third party for its security features has ranked Bitbank as Japan's No.1. It adopts an offline cold wallet and Multisig technology, ensuring robust protection against hackers and safeguarding users' assets with advanced technology.
- Fees: JPY deposit fees range from 550 to 770 JPY, depending on the chosen method, with a uniform trading fee of 0.2%.
- Supported Cryptocurrencies: A diverse portfolio of 37 cryptocurrencies.
- Regulation & Licensing: A registered member of the Japan Crypto Asset Trading Association, holding registration number 0004.
- JPY Deposit Methods: Includes bank transfers, credit cards, Google Pay, Apple Pay and debit cards.
.webp)
5. Gate.io
Gate.io, recognized as the fifth-best cryptocurrency exchange in Japan, stands out for its extensive selection of altcoins. It offers Japanese investors an impressive portfolio of over 1,700 cryptocurrencies, making it an ideal platform for those interested in a broad spectrum of digital assets. In Japan's crypto market, Gate.io is particularly appealing due to its low transaction fees, starting from just 0.1% for spot trades.
With a 24-hour trading volume surpassing $5 billion and a global user base of over 14 million, Gate.io has a significant presence in the international cryptocurrency arena. The platform enhances the trading experience for Japanese users with innovative features such as automated trading bots and a dedicated startup section. These distinctive elements provide Japanese traders with diverse market opportunities, including exclusive trading events and competitions specifically designed for them.
- Fees: Competitive pricing structure, with maker orders starting at 0.1% and taker orders at 0.2%.
- Supported Cryptocurrencies: An expansive collection of more than 1,700 digital assets.
- Regulation & Licensing: While based in the Seychelles, Gate.io is not directly licensed in Japan but remains accessible to Japanese users.
- JPY Deposit Methods: Offers a range of options, including local bank transfers, and debit and credit cards, among others.
%20(1).webp)
Is Crypto Regulated in Japan?
In Japan, cryptocurrency is regulated under the Payment Services Act (PSA), which mandates that anyone providing Crypto Asset Exchange Services (CAES) must register with the Financial Services Agency (FSA). The PSA defines "Crypto Asset" broadly, encompassing digital assets used for payment to unspecified persons and those exchangeable for other crypto assets. Notably, services managing Crypto Assets for others, like Crypto Asset Custody Services, are included under CAES, but non-custodial wallet services are exempt.
Japan's regulations for CAES Providers (CAESPs) are rigorous, focusing on the protection of user assets. These include the segregation of user and CAESP funds, management of the majority of Crypto Assets in cold wallets, and annual audits. Additionally, CAESPs must adhere to rules ensuring the security of key information and assets, provide clear user information, and establish strong internal controls for complaint handling.
How is Crypto Taxed in Japan?
In Japan, profits from trading crypto assets are classified as "miscellaneous income" by the National Tax Agency, subject to a progressive tax rate ranging from 5% to 45%. Additionally, a 10% inhabitant tax is payable to local governments on such profits. Taxpayers can offset their profits with losses incurred from crypto trading.
Sales or exchanges of Crypto Assets are exempt from consumption tax, but this tax applies to lending fees and interest earned on cryptocurrencies. Furthermore, inheritance tax is imposed on crypto assets held by a deceased person.
Corporate taxation in Japan also sees specific rules regarding digital assets. According to the National Tax Administration's June 20, 2023, revision, crypto assets held by a corporation at the end of its fiscal year, which are issued by the corporation and continuously held since issuance, are excluded from market valuation for tax purposes.
Bottom Line
In summary, for secure and compliant cryptocurrency trading in Japan, investors should prioritize exchanges licensed by the Financial Services Agency (FSA) with a Virtual Asset Service Provider (VASP) license. Our detailed evaluation highlights the top five exchanges, considering factors like regulatory adherence, cryptocurrency variety, user experience, and JPY deposit options.
Bybit emerges as the leading platform, followed by Kraken, bitFlyer, Bitbank, and Gate.io, each offering unique advantages from extensive asset selections to competitive fees. These platforms ensure a reliable and regulated trading environment for Japanese investors.
.webp)
