Japan introduced amendments to the Acts “On Financial Settlements” and “On Financial Instruments and Exchanges” to regulate the cryptocurrency market. Changes in regulations prepared by the Financial Services Agency of Japan (FSA). They are aimed at strengthening consumer protection and increase regulatory certainty of the regulatory framework.
The main features of the new regulations are as follows. A new legal term for cryptocurrency has been defined. Now in Japan, they are officially called “cryptoactive assets” and not “virtual currencies”. They have introduced tight control over derivative products. Leverage for margin trading is limited in the ratio of 4 to 1. Some requirements significantly reduce the risk of unauthorized interference with the work of the technical infrastructure of the exchanges.
New rules will work in April 2020. Until this date, all cryptocurrency exchanges that provide their services in Japan will be required to register under the new regulations.
Law and Trust International provides an opportunity to register a company in Japan. About the cost and features of registration, please check with our lawyers.