The Japanese financial Supervisory authority in the face of the financial services Agency (FSA) will tighten the verification process required for registration of cryptocurrency exchanges. The news on 2 September reported by the Japanese edition of the Japan Times.
As explained by Japan Times companion, FSA has updated the registration process by revising the “Law on payment systems”, valid from April 2017, so that “to make sure cryptocurrency exchanges properly manage risk”. The Supervisory body added to the provisions of the old law, several new items, increasing “the number of questions that need answering, checking applications up to 400, four times”.
Also, the FSA will require access to the records of the meetings of the heads of cripture, and the related composition of the shares owned by the shareholders of the company to those and other “test in connection with anti-social groups.”
Writes the Japan Times, cryptocurrency exchanges should “report on how many minutes lasted the meeting of the Board of managers that the Agency could be sure that there is enough long, the participants discussed the measures that will preserve the financial health of the company and to ensure the security of its computer system.”
In August the FSA published the results of the physical checks of crypto-currency exchanges – the decision to test was made after the January robbery of the exchange Coincheck $532 million. it is Reported that the Agency plans to scrutinize the effectiveness of business models was recently cryptocurrency exchanges.
In August, the high Commissioner of the financial services Agency Toshihide Endo said in an interview with Reuters that he is considering cryptocurrency industry as a phenomenon that “will grow in the presence of legislative base”.
As written July 3, website Cointelegraph, in July, the FSA made changes to the legislative Foundation for the regulation of cryptocurrencies – they can become “Law on the financial instruments and exchange act”, instead of current “Law about payment services”.