Japan is a major Asian jurisdiction, where regulation of bitcoin and cryptocurrency in their broader sense is considered one of the role models for the rest of the community. The land of the rising sun, if you recall, was the first to consider bitcoin in the framework of the monetary legislation and has formulated strict regulations for the operation of the cryptocurrency exchanges.

It is also important to note that the Japanese yen, as of March 14, 2019 (according Coinhills) leading the trading volume in bitcoin with the rate more than 45%. In second place is the US dollar (about 44%), in third place is the Brazilian real (3%), nearby Korean won (2,79%). Closing the top five, the single European currency (the Euro) gained just 1.7%.

Read more about local experiences in relation to cryptocurrency in a special material for the magazine ForkLog said the head of the communications division of the Japanese startup FEB Inc. and the author of the Twitter-channel Crypto Russia Tamara Soykina.

For providing exchange services of crypto-currencies in Japan requires a license, which is issued by a local financial services Agency (FSA). At the end of February 2019 this license had 17 companies. Although Japan is not legally allowed list of currencies for trading and distribution, in the turnover of these operators 17 coins is usually called “white list”. It includes bitcoin (BTC), Cash, Bitcoin, Ethereum, Ethereum Classic, XRP, Litecoin, NEM and a few other digital currencies there are a total of 21.

This “white list” was supplemented twice, on 7 March 2018 the stock exchange bitFlyer has added support Lisk, 11 January 2019 at Coincheck held a listing Factom. In addition, at the time of obtaining a license Coincheck was removed from the auction Monero, Dash, and zcash for Augur because of their anonymous characteristics and high demand in the gambling market.

In March 2018 16 licensed Japanese kryptomere created a self-regulatory organization Japan Virtual Currency Exchange Association (JVCEA), which, along with the FSA the powers to legislate in the fields of cryptocurrencies and blockchain technology.

JVCEA was officially recognized by the FSA as an Accredited Association payment operators in October 2018, and currently it consists of 26 companies and 17 licensed operators exchange and nine companies whose applications for licenses are pending.

JVCEA was established as one of the measures after the high profile hacking of the exchange Coincheck in January 2018. On the photo: the user Coincheck apologizes to users and promises to return the stolen funds.

The Association is engaged in lobbying of interests of the leading representatives of the industry and attempts to add in the already mentioned “white list” FSA new cryptocurrency.

Expects CEO Bitpoint Genki Ode, by the middle of summer 2019 will see the first results of this work:

“In 2018, after the hacking and theft of large cryptocurrency exchange Soptesc, the FSA conducted inspections of all the major kryptomere and issued orders to “improve”. This precedent strongly limited the listing of new cryptocurrency. On the other hand it is expected that new service providers for the exchange of cryptocurrencies, such as LINE and Rakuten, will come to market around June 2019. In addition, work to improve the quality of services each of the exchanges, to rasporyazheniyu FSA is nearing completion. I think the listing of new cryptocurrencies will begin from that time.”

Genki ODA emphasizes that the highest probability of listing will have a currency with a high market capitalisation and high volume of sales traded on foreign exchanges.

“We believe that by the end of 2019 in the list can be up to ten new cryptocurrencies. Each exchange is conducting an independent study confirms the absence of problems with handling of currency and determines ways to store cryptocurrency, for example, on cold wallet, and security systems, including multipoles. Also we will check the possibility of pre-purchasing cryptocurrency exchanges”, — said the head of the Bitpoint.

He also does not consider the right to choose the currency at its market capitalization or only because other exchanges took her to treatment.

“Rather, the operator and the cryptocurrency needs to build a relationship of mutual benefit and mutual trust and the exchange must take a closer look at the potential of the project the social value that this cryptocurrency makes. The listing should increase the value of the currency, and we will work in this direction – if not this year, then next again,” added Genki Ode.

A listing of new cryptocurrencies on Japanese stock exchanges, according to the head of Bitpoint, will lead to the revitalization of the Japanese market as a whole.

“The introduction of the new cryptocurrency will lead to more extensive practical application of blockchain technology. Some utilitarian tokens will finally be able to maintain a stable volume for the first time and will prove its value,” he says.

Given the world’s largest scale of investment in bitcoin, as well as tacitly endorsed by the Japanese law “white list” of cryptocurrencies, we can say that local investors have a huge potential for investments in digital assets.

A large part of this potential has not yet been implemented: due to the language barrier, most Japanese investors are using only internal exchanges.

However, in the near future at the global cryptocurrency market can be large changes associated with “unfulfilled demand” from the Japan market. And this fact, ignore that at least it would be short-sighted.

As he wrote ForkLog, at the end of 2018, the Japanese government formulated the final rule, to be followed by providers of cryptocurrency services, including exchange.

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