Japan to Get Self-Regulatory Body for Cryptocurrency Exchanges

Japan Finally Gets Self-Regulatory Body For Crypto Exchanges

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  • Japan will get the first self-regulatory body for crypto exchanges within its territory soon.
  • The body will protect exchanges against a recurrence of what happened to Coincheck.

Japan: According to Asahi Shimbun, a local news outlet on Tuesday 24th April, an official agreement has surfaced which revealed that Japan is about getting the first self-regulatory body for its crypto exchange industry. The local news outlet stated that all the 16 licensed crypto exchange operators in Japan have taken the move to finally launch an association that would be identified as the Japanese Cryptocurrency Exchange Association (JCEA) with Taizen Okuyama, the president and CEO of forex firm Money Partners, as its chairman.

This move is coming at the time when crypto exchanges are the focus of attention after the Coincheck’s $530 million hack in Jan., the association will create best practices and compliance standards, which all its members must abide by. Okuyama added that the self-regulatory body will also advise the 12 unregistered crypto exchanges as part of Japan’s cryptocurrency licensing scheme with regard to cross-industry “development.” Okuyama told the local news outlet:

“I would like to create a situation where I can give advice to (unlicensed exchanges), the development of the industry as a whole is important.”

Plans toward the creation of the association started way back in Feb. from 2 industry entities – The Japan Blockchain Association (JBA) and Japan Cryptocurrency Business Association (JCBA) –  whose members now make up the JCEA.

Yuzo Kano, the executive director of JBA, said that creating an industry standards effort would not happen overnight, despite the fact that there is pressing need to avoid a recurrence of what happened to Coincheck. Yuzo tweeted:

“There is progress, but it is not yet concrete fact.”

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