03 September, 2018
Japan’s Financial Service Agency has reportedly tightened registration process for new trading platforms dealing with cryptocurrencies in terms of risk management issue.
For reference, registration of new exchanges in the country is now regulated by the Payment Services Act of April 2017, which is aimed at protecting crypto players.
For now, the regulator has announced new edition of the rules after adding about 400 items to be complied with during the registration, according to the available data. FSA stated that the revision of the effective rules was made to check the risk management measures at the trading platforms.
Besides, the new rules require submitting minutes of the board meeting and data about company shareholders to check them for participation in anti-social groups. Specifically, the regulator decided to take stricter measures for the registration of new crypto exchanges once inspection of the existing platforms had detected lack of internal control.
As FSA noted, they have received over 100 applications for registration.
It is worth mentioning that some Japanese crypto exchanges members of Japanese virtual currency exchanges filed an official request asking for launching self-regulated organization.