Japan has proven to be a major country for Bitcoin trading as of late. Ever since China’s volume dropped, Japanese has stepped up its game. Nearly a dozen exchanges have now received their official licenses. This is a positive sign as it shows these companies will be around for some time to come. It is expected more platforms will try to obtain their license as a way to oblige with current regulations.
The regulatory landscape in Japan is changing. Bitcoin is an official and legal currency in the island state right now. That situation itself will not be rectified, nor should it be. Local cryptocurrency exchanges, however, have some work to do. The country’s Financial Services Agency introduced some new regulatory requirements not too long ago. This means all Japanese businesses must apply for a license.
Bitcoin Exchanges in Japan get Licensed
The amendment to the payment services law is the reason for this new license. Most of the process revolves around registering with proper authorities before the end of this month. Additionally, there are operational requirements to contend with. Cybersecurity is one of the top priorities all exchanges need to adhere to. Moreover, new measurements have been introduced to verify customer identities. None of these requirements are considered to be invasive by any means, though.
With 11 exchanges receiving their license already, things are looking promising. Coincheck was the first exchange to obtain this new license a while ago. Quoine is also among the registered companies. They will keep working with regulators to ensure the cryptocurrency industry in Japan can thrive. It is good to see such a two-way dialog between all involved parties. It will be interesting to see how this industry evolves in the coming months.
Contrary to other countries, Japan is proactive in a positive manner Their legal recognition of Bitcoin has set an interesting precedent for other countries to follow. Lawmakers are keeping an open mind toward cryptocurrency as a whole, which is a welcome change of pace. Other regions around the world aren’t following the example right now, but that situation may come to change sooner or later.
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