Dec 28 Reuters U.S.based crypto exchange Kraken said on Wednesday it would cease its operations in Japan next month, citing the current market conditions in the country and a weak crypto market globally.

Kraken will deregister from the Financial Services Agency JFSA as of Jan. 31, by which time clients would have to withdraw their fiat and crypto holdings, it said in a statement.

Kraken said it is fully funded to ensure that all affected clients could withdraw their assets in a timely manner.

Last month, Kraken said it would reduce its workforce by 30, or about 1,100 employees, as tough market conditions had crippled demand for digital assets.

Bitcoin, the preeminent cryptocurrency, has lost 60 of its value this year, while the wider crypto market has shrunk by 1.4 trillion, squashed by the collapse of Sam BankmanFried39;s FTX empire, Celsius and supposed 39;stablecoins39; terraUSD and Luna.

Reporting by Rhea Binoy in Bengaluru; Editing by Savio D39;Souza

Source Reuters