OSL Expands to Japan With CoinBest Acquisition

OSL Group, a Hong Kong-based crypto exchange operator, has officially completed its acquisition of Japanese exchange CoinBest, rebranding it as OSL Japan. This move signals OSL’s strategic push into global markets, particularly in jurisdictions with established regulatory frameworks.

Breaking Into the Japanese Market

Japan’s strict regulatory environment has historically made it difficult for foreign firms to enter. However, OSL CEO Kevin Cui sees CoinBest’s acquisition as a key opportunity to establish a strong foothold in the country.

“We’ll rely on the local team to grow our presence in Japan,” Cui said in an interview with The Block.

Cui also emphasized that OSL’s expansion strategy has accelerated due to Hong Kong’s limited user base.

“We’d favor expanding in a jurisdiction with a more mature regulatory framework. Japan’s regulatory environment can be compared with Hong Kong’s,” he added.

Global Expansion Beyond Japan

Japan isn’t the only market OSL is eyeing. Cui revealed that Lithuania is also under consideration, particularly due to its alignment with the European Union’s Markets in Crypto-Assets (MiCA) regulation.

“Lithuania, for example, is one of the places we’re looking at right now,” Cui noted, highlighting the region’s compliance-friendly ecosystem as a potential growth avenue.

OSL Japan’s Future Plans

In its initial phase, OSL Japan will focus on over-the-counter (OTC) trading and retail crypto products designed for the local market.

According to an official company statement, OSL Japan’s development roadmap includes:

• Expanding trading platform capabilities
• Enhancing custody solutions
• Offering advisory services tailored for institutional and retail clients

OSL is among nine licensed crypto exchanges in Hong Kong, operating under the city’s 2023 regulatory framework that allows for retail crypto trading services.

Strong Revenue Growth in 2024

As part of its broader expansion, OSL expects a major revenue boost in 2024.

The company forecasts revenue between HK$337 million ($43.2 million) and HK$375 million ($48.1 million)—a 60% to 79% year-on-year increase.

With a strong push into Japan and potential expansion into Europe, OSL is positioning itself as a major player in the global crypto exchange market.