Share this article
Japan's Bitcoin Exchanges Under Regulator Surveillance From October
Japan's Financial Services Agency will begin more closely monitoring cryptocurrency exchanges from next month.
Updated Sep 13, 2021, 6:57 a.m. Published Sep 25, 2017, 10:30 a.m.
Make us preferred on Google
Japan's Financial Services Agency (FSA) will begin more closely monitoring cryptocurrency exchanges from next month.
According to the Japan Times, the increased scrutiny is aimed to ensure that the companies comply to the revised payment services law, passed in April this year, which set out operational standards for exchanges, as well as recognizing bitcoin as a form of legal tender.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
An FSA executive reportedly indicated the surveillance is intended both to regulate the exchanges and to ensure the healthy growth of the cryptocurrency market, saying:
"We pursue both market fostering and regulation enforcement. ... We aim for sound market development."
The payment services law passed earlier this year established anti-money laundering and know-your-customer rules for the exchanges. The law is also intended to enforce security standards aimed to protect the exchanges from the risk of cyberattack.
The law specifies that all exchanges must report to the authorities by the end of September to confirm they are compliant with the new rules. The FSA also has the remit to conduct on-site inspections if deemed necessary.
To monitor the over 20 cryptocurrency exchanges operating in Japan, the FSA last month established a specialised surveillance team, reportedly comprised of 30 staff members.
Japan is no stranger to cryptocurrency based fraud, with 33 cases, representing more than a half of million dollars-worth of loses, reported in the first seven months of 2017.
Further, in 2014, the now-notorious Japan-based bitcoin exchange Mt Gox collapsed, resulting in the loss of millions of dollars in customers' funds. Japanese lawmakers have previously cited the exchange's failure as a key driver in the move to regulate the cryptocurrency industry.
Japan surveillance image via Shutterstock
More For You
Pudgy Penguins is building a multi-vertical consumer IP platform — combining phygital products, games, NFTs and PENGU to monetize culture at scale.
What to know:
Pudgy Penguins is emerging as one of the strongest NFT-native brands of this cycle, shifting from speculative “digital luxury goods” into a multi-vertical consumer IP platform. Its strategy is to acquire users through mainstream channels first; toys, retail partnerships and viral media, then onboard them into Web3 through games, NFTs and the PENGU token.
The ecosystem now spans phygital products (> $13M retail sales and >1M units sold), games and experiences (Pudgy Party surpassed 500k downloads in two weeks), and a widely distributed token (airdropped to 6M+ wallets). While the market is currently pricing Pudgy at a premium relative to traditional IP peers, sustained success depends on execution across retail expansion, gaming adoption and deeper token utility.
More For You
Bitcoin holds $84,000 — for now — but analysts warn of drop to $70,000 if support fails
Thursday's decline showed that, despite hopes for being a macro hedge, bitcoin continues to trade like the riskiest of risk assets when markets turn lower.
What to know:
- Bitcoin slumped Thursday to its weakest price since November, as crypto markets sold off sharply.
- The decline was triggered by major U.S. morning declines in gold and stocks, but while those markets rebounded far from their worst levels, crypto saw no such bounce, underscoring the sector’s relative weakness.
- Analysts say a breakdown to as low as $70,000 for BTC is in the cards.
Top Stories
