Japan’s Bitcoin Exchange will be subject to supervision from October

nnIn Japan, in April passed the amendment to the Payment Services Act, depending on the currency as the legal currency, and developed a series of standards and rules for the exchange. Now, the Japanese financial regulators will further ensure the effectiveness of the bill, announced on the beginning of next month to regulate these digital currency exchanges to protect the healthy development of this emerging market. This shows that Japan’s digital money market has been on trackn
nTranslated by: Inan
The FSA will begin to tighten regulation of digital currency exchanges from next month.n
According to the Japan Times, the move is designed to ensure that these companies are able to comply with the payment service amendment bill passed in April this year, which sets the operating standards for the exchange and recognizes that Bitcoin is a legal currency.n
According to reports, FSA officials pointed out that the purpose of this regulation is to regulate the exchange and to ensure the healthy development of digital money and money market. The official said:n
n”We are both pursuing market cultivation and pursuing regulatory execution … Our goal is the healthy development of the market.”n
nEarlier this year, through the payment service bill developed for the exchange of anti-money laundering and KYC rules. The law also aims to enforce security standards that protect the risk of avoiding the risk of cyberattacks.n
The Act stipulates that all exchanges must report to the authorities by the end of September to confirm their compliance with the new requirements. If necessary, FSA also has the right to conduct on-site inspections.n
In order to oversee more than 20 digital currency exchanges operating in Japan, the FSA set up a special supervisory team last month, which is reported to consist of 30 staff members.n
Japan is no stranger to digital money fraud. According to reports, the first seven months of 2017, Japan has 33 cases of this case, resulting in more than 500,000 US dollars in losses.n
In addition, in 2014, the collapse of Mt Gox, a Japanese foreign currency exchange firm, brought millions of dollars of customer funds into nothing. Japanese legislators have referred to the failure of the exchange as an important impetus to regulate the digital currency currency industry.n

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