The Financial Services Agency believes the new proposal will prevent stablecoin runs in Japan as banks and wire transfer firms are required to protect consumer assets.
The regulations are expected to be brought in before summer next year, with a view to provide greater consumers and investors protection.
The country’s financial services regulator has reportedly established a new unit that will oversee the industry, even as the Finance Ministry increases its headcount to better police the rapidly growing industry.
Binance came under regulatory fire on three continents in the space of a single weekend, another sign that the enforcement walls are rapidly closing in on the troubled cryptocurrency exchange.
The Financial Services Agency said Bybit is allowing Japanese residents to register and leverage the exchange, despite not having the proper registration to offer such services in the country.
Ryozo Himino, incoming head of the Financial Services Agency, has voiced his concern over calls to relax the current digital currency laws.
Japan STO Association and Japan Virtual Currency Exchange Business Association are now formally recognized as self-regulatory groups.
Japan’s messaging and internet company Line has launched Bitmax, its cryptocurrency exchange for the Japanese market.
Japan’s most popular messaging app hopes to flatten the relationship between users and service providers.
The Financial Stability Board has just added Ryozo Himino, a cryptocurrency expert, to its team that could prove to be very lucrative for the future of global adoption of digital currencies.