Japanese financial regulator proposes to include cryptocurrencies in securities regulatory framework

According to BlockBeats, on September 4, the Japan Financial Services Agency (FSA) released a report on Tuesday, proposing to shift cryptocurrency regulation from the Payment Services Act to a more stringent Financial Commodity Exchange Act (FIEA) framework, according to Cointelegraph. This move aims to strengthen investor protection, deal with unclear information disclosure, unregistered operational and security risks in the industry, and to keep cryptocurrency supervision consistent with securities supervision. The report shows that Japan already has more than 12 million cryptocurrency accounts, with a total user deposit of 5 trillion yen (about 33.7 billion US dollars). If the new regulations are implemented, cryptocurrency issuing parties will face stricter information disclosure requirements and intermediary services will also be subject to stricter supervision. The proposal is currently an internal briefing document and is yet to be finalized by the Financial Systems Commission and the Government.