Japan’s new regulations allowing investors to trade using stablecoins like Tether (USDT) are expected to be adopted no later than in June 2023, according to a local financial authority. The Financial Services Agency (FSA) of Japan is working on lifting the ban on the domestic distribution of stablecoins, planning to allow certain stablecoins later this year. “This does not mean that all foreign products of so-called ‘stablecoins’ will be allowed without any restriction,” a spokesperson for Japan's FSA said in a statement to Cointelegraph. FSA will only allow stablecoins that successfully pass individual checks ensuring that such cryptocurrencies are safe …

After passing its landmark legislation on stablecoins in June, Japanese regulators are considering complementing it by restricting the algorithmic backing of stablecoins. The intention comes as a recommendation from the Financial Service Agency (FSA) and was repeated by the country’s Vice Minister for International Affairs, Tomoko Amaya. During his speech on crypto assets at a roundtable hosted by the Official Monetary and Financial Institutions Forum (OMFIF), Amaya laid out Japan’s regulatory framework, emphasizing the factors of financial stability, user protection, and anti-money laundering/ combating the financing of terrorism (AML/CFT). The speech was originally held in November, but the FSA published …

The Japanese subsidiary of the now-defunct FTX crypto exchange has come out with a roadmap to resume withdrawals, after confirming that its customers’ assets are not part of FTX's bankruptcy proceedings. The firm provided an update on Dec. 1, stating it has been able to confirm that its customers’ assets "should not" be part of FTX Japan's estate due to Japanese regulations which mandate that crypto exchanges must separate client funds from their own assets. This was according to Landis Rath & Cobb LLP, the law firm representing FTX Group in the Chapter 11 bankruptcy proceedings. FTX Japan was only …

The Financial Services Agency, or FSA, of Japan has requested FTX Japan suspend business orders, citing the policies of FTX Trading Limited. In a Nov. 10 announcement, the FSA said it had taken administrative actions against FTX Japan following FTX Trading Limited’s suspension of withdrawals “without explaining the reasons clearly to investors.” The financial regulator said it had issued suspension orders and business improvement orders in accordance with Japan’s Payment Services Act and Financial Instruments and Exchange Act. “There have been reports that FTX Trading Limited is facing credit uncertainties,” said the FSA. “It is necessary to take all possible …

Two out of the top 10 largest cryptocurrency exchanges by volume will expand into new markets, with Crypto.com obtaining a provisional crypto license in Dubai and FTX launching in Japan. Crypto.com announced on Thursday that the Dubai Virtual Assets Regulatory Authority (VARA) provided the exchange with provisional approval of its virtual asset license, giving the company the go-ahead based on initial compliance checks. The exchange said that VARA will carry out further due diligence and other mandated requirements before its full operating license is issued, which it expects to happen in the “near term.” Crypto.com said in March it would …

Financial Conduct Authority (FCA), United Kingdom’s central financial regulator, has issued a damning verdict on the presence of Bitcoin (BTC) ATMs within the island country. In what has come as a surprise to many within the industry, the U.K. authority has issued a stern “shut down or face further action" order to operators of Bitcoin ATMs, outlining their intentions to contact these companies to affirm the notice. The watchdog cited a lack of regulatory structure, the high-risk potential of fluctuating assets and the importance of upholding the principles established within the Money Laundering Regulations (MLR) as the primary reasons for …

Seung-beom Koh, a nominee for chairman of South Korea’s Financial Service Commission (FSC), does not regard cryptocurrencies as a financial asset. In a press meeting with local journalists, Koh said that fintech experts from prominent organizations such as the G20, the International Monetary Fund and others “find it difficult to see virtual currencies as a financial asset, and think they could not function as a currency.” Koh’s comments coincide with the ongoing surge in crypto trading among young investors who primarily invest for short-term profits, according to The Korean Times. Investors also see cryptocurrencies as a fair chance to buy …

Japan’s financial regulator, the Financial Services Agency (FSA), has started discussions around imposing stricter regulations for cryptocurrencies in an effort to provide better protection to Japanese investors. Back in July, the FSA established a dedicated section as well as a panel of financial experts to help the government oversee digital and decentralized finance. The agency will also be responsible for keeping track of developments in cryptocurrencies and central bank digital currency initiatives, as reported by Jiji Press. The financial regulator intends to have replaced and imposed the new crypto regulations by mid-2022. With the new regulations in place, the FSA …

The new commissioner of Japan’s Financial Services Agency (FSA), Junichi Nakajima, believes the country needs to think carefully before making Bitcoin (BTC) and other cryptocurrencies more accessible to the general public. Nakajima believes crypto assets like Bitcoin have the potential to benefit the public as a quick and cheap way to transfer money, he said in an interview with Bloomberg. However, most of the crypto assets are currently used for speculation and investment instead. That’s why the Japanese regulator believes careful consideration is required before making it easier for the general public to invest in crypto assets. Nakajima said that …

Crypto trading platform Binance may once again be heading for a standoff with financial regulators in Japan. On Friday, the Financial Services Agency (FSA) issued a warning to Binance, accusing the company of offering crypto exchange services in the country without registration. The agency also served a similar warning to crypto derivatives trading platform Bybit back in May. After China banned crypto trading back in 2017, Binance, along with many other Chinese exchanges, moved to Japan. Soon after, the FSA made Japan become the first jurisdiction to develop clear-cut crypto exchange rules, which, among other requirements, mandated compulsory national registration …

Singapore-based Bybit, the world’s fifth-largest cryptocurrency derivatives exchange by trading volume, has allegedly been running unregistered crypto services in Japan, according to an official warning. The Japan Financial Services Agency issued a formal warning letter to Bybit stating that the firm is not registered to operate crypto services in the country. The warning comes in response to Bybit’s marketing campaign that reportedly targeted Japanese investors, according to Norbert Gehrke, founder and representative director of tech hub Tokyo FinTech. “Such public reprimand for running an unregistered business has not occurred for a while, so one is to assume that the FSA …

Japan has made another step toward adopting cryptocurrency Anti-Money Laundering regulations developed by the Financial Action Task Force, Cointelegraph Japan reports. The Japanese Financial Services Agency announced Wednesday that it will adopt the FATF’s Travel Rule — a set of regulations requiring virtual asset service providers to share transaction data for senders and recipients — by April 2022. “It is required to introduce and implement the Travel Rule regulations in each country,” the FSA noted. The FSA requested the Japanese Virtual Currency Exchange Association, a local self-regulatory crypto organization, to prepare for the implementation of the Travel Rule: “From the …