Junichi Nakajima, the new director of the Japanese Financial Services Agency (FSA), believes that Japan needs to think carefully before making Bitcoin (Bitcoin) And other cryptocurrencies that are easier for the public to use.
Nakajima believes that crypto assets like Bitcoin may benefit the public as a fast and cheap transfer method, he said in a statement interview With Bloomberg. However, most of the crypto assets are currently used for speculation and investment.
This is why Japanese regulators believe that careful consideration is needed before making it easier for the public to invest in crypto assets. Nakajima stated that the high volatility of the crypto market is the main reason why Japanese regulators do not allow crypto investment trusts due to the lack of underlying assets.
After Tokyo’s cryptocurrency exchange Coincheck was attacked by the notorious hack, Japan is known for increasing supervision. Resulting in the loss of 523 million NEM coins, Valued at approximately 534 million U.S. dollars.
Nakajima acknowledged that since then, the country has become a difficult market for registered cryptocurrency exchanges. The current regulatory framework for cryptocurrency exchanges effectively protects customers and meets anti-money laundering requirements. But the business situation of most registered cryptocurrency exchanges is “quite difficult,” Nakajima added.
The goal of the Japanese government is Global cooperation to supervise digital currencyTo this end, it is reported that the Ministry of Finance of Japan is seeking to increase its personnel. The FSA also established a new department last month to monitor the broader crypto market and focus on decentralized finance.
Major cryptocurrency exchanges such as Binance and Bybit are not among the 31 registered cryptocurrency exchanges in Japan. FSA issues a formal warning letter May Bybit and Binance in June, Accusing them of providing cryptocurrency exchange services in the country without registration.