The Japan Times September 2 reported that Japan’s financial regulatory institutions Financial Services Agency (FSA) will strengthen the encryption currency registered scrutiny Exchange.
The source told the Japan Times that the UK Financial Services Authority revised the Payment Services Act, which was implemented in April 2017, to upgrade the registration process to “check if they [ encrypted exchanges are correctly conducting risk management”” .
The Financial Services Agency has added several new requirements to the content of the above-mentioned bill.
The FSA now also needs to access the board meeting minutes of the crypto exchange to review the composition of the company’s shareholders to “check the links with anti-social groups”.
The Japan Times reported that the crypto exchange must “submit the minutes of the board meeting so that the FSA can check whether the measures to maintain the company’s financial status and ensure the security of the computer system has been fully discussed.”
The FSA announced the results of a field inspection of the encrypted exchange in August. The results show that the FSA is closely monitoring the effectiveness of the newly registered cryptographic exchange business model.
In late August, Japanese FSA Commissioner Toshihide Endo told Reuters that he believes the agency’s goal is to develop the encryption industry to “grow it under proper supervision”.
According to Cointelegraph, as early as July, FSA has been considering changing the legal basis of cryptocurrency trading regulations, possibly from the payment service law to the Financial Instruments and Transactions Act (FIEA).