Liquid to Offer Crypto Derivatives in Japan with New License

The cryptocurrency Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term, Liquid announced on Thursday that its Japanese subsidiary, QUOINE Corporation, has acquired a Type I Financial Instruments Business license from the regulator in the country.

The new license, which the company obtained on Tuesday, will allow it to offer cryptocurrency derivatives products to Japanese clients. The exchange applied for this license last year.

Commenting on the new license, Liquid's Chief Operating Officer, Seth Melamed said: “The Type 1 license issuance is the culmination of a great deal of preparation and collaboration by the entire Liquid team. It is also a validation that trading derivatives in crypto can be done in a compliant manner with full customer protections & transparency.”

Though the crypto exchange is already intending to launch crypto derivatives trading services in Japan, it did not provide any set timeline. However, the official announcement detailed that the upcoming services will be for both retail and institutional market participants.

A Reputed Crypto Exchange

Liquid's parent firm stepped into the cryptocurrency space in 2014 to offer exchange services. In addition, it became one of the first regulated Japanese crypto exchanges after the license from the Japan Financial Services Agency as a Virtual Currency Exchange in 2017.

Over the years, the exchange has significantly expanded its services in the crypto space: launched fiat-to-crypto and crypto-to-crypto exchanges; started offering Bitcoin CFDs with 100x leverage, and began swapping services between fiat and crypto.

Furthermore, the exchange is seeking a Payment Institution license from the regulator in Singapore to offer crypto services in the city-state.

Despite the reputational dominance, the exchange became the victim of a massive data breach last year that exposed the name, email and encrypted passwords of its users. However, that did not lead to any theft of Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term.