Recently, the largest cryptocurrency exchange by trading volume and users, Binance, announced a collaboration with the Japanese company Liquid to verify customer identities on its new domestic platform in Japan. This marks the first partnership between Liquid and Binance.
Liquid’s eKYC product, which utilizes facial recognition and ID document image recognition powered by AI, will be used for this purpose. This technology has been implemented in various fields.
A spokesperson from Liquid mentioned the advantages of this cooperation, stating, “Liquid eKYC offers top-tier facial verification through unique AI-driven image processing, allowing for easy identity verification within legal frameworks and corresponding security in each country.”
Takeshi Chino, Binance’s CEO in Japan, also highlighted the importance of a robust KYC framework for protecting the platform, users, community, and the entire ecosystem from potential threats. He emphasized Binance’s commitment to maintaining high standards of safety and compliance in Japan.
It’s worth noting that Binance has been facing increasing legal pressures worldwide in recent months. After warnings from Japanese regulatory authorities about operating without necessary permits, the crypto giant acquired Sakura Exchange Bitcoin (SEBC), a registered cryptocurrency exchange in Japan, in November 2022, as part of its presence-building efforts in the country.
By May 2023, Binance announced that its Japanese branch was ready and would fully comply with local regulations. They stated that Japanese users on their global exchange would be able to transition to the new domestic platform after completing identity verification.
In late July 2023, Binance’s founder Changpeng Zhao revealed plans to resume full services in Japan, and on August 1st, they relaunched with 34 listed tokens.