The Financial Services Agency of Japan (FSA) officially granted the Japan Association of Virtual Currency Exchanges (JVCEA) the status of a “certified financial billing business association”.
Thus, the financial regulator gave the Association the authority to develop rules for the local cryptocurrency industry, including measures to prevent insider trading, money laundering and asset protection.
JVCEA was formed by 16 of the country’s leading exchanges in March of this year, receiving an official FSA registration in April. In August, she submitted an application with the proposal to form a self-regulatory organization, which would allow her to establish self-regulation rules for the local cryptocurrency industry, as well as to develop more stringent standards for doing business.
Now the association has confirmed the receipt of a positive decision by the regulator, noting that the rules it has developed come into force immediately.
“After receiving accreditation, we will continue to work on the formation of an industry where users of virtual currencies can trust our members,” – was outlined in the statement.
The JVCEA industry guide took 100 pages. In addition to the ban on insider trading, it includes restrictions on working with anonymous cryptocurrencies and on limiting up to x4 leverage in margin trading
Note that the Japanese authorities continue to prepare their own measures to regulate the industry after two large-scale incidents with the Coincheck and Zaif exchanges.