The state-sponsored research team of the Tokyo University of Tama presented guidelines for the regulation and legalization of cryptocurrencies and ICOs in Japan. The document sets out basic requirements for the identification of investors, measures to combat money laundering, monitoring the progress of projects, protecting holders of securities and debt obligations.
The issuers of tokens should fully disclose information on the distribution of raised funds and profits, as well as on the status of assets and liabilities. It is noteworthy that the document does not clearly define ICO-tokens as securities.
Crypto-exchanges will have to develop common standards for ICO-tokens listing, as well as countering insider trading.
These proposals will be sent to the Agency for Financial Services of Japan (FSA). On their basis, within a few years, a new law may emerge that will legalize the scope of the ICO.
“ICO is an innovative technology. Therefore, if we can implement good principles and rules, then it can be a new way of attracting financing, “Kenji Harasima, a researcher at Mizuho Institute, shared his opinion. The research group included: Takuya Hirai, a member of the Liberal Democratic Party of Japan, the head of the country’s largest bitFlyer exchange, Yuzo Kano, as well as representatives of financial groups Mitsubishi UFJ, Mitsui and Mizuho.