The Japan Virtual Crypto Exchanges Association has applied with the country’s financial regulator to become the authority for self-regulation.
If it works, what this means henceforth is that, the Japan Virtual Currency Exchange Association, will have the power to enforce rules on its crypto exchange members.
The Japan Virtual Currency Exchange Association (Jvcea) announced Friday that it has applied for certification with the country’s top financial regulator, the Financial Services Agency (FSA).
The Japanese government has only approved and given full license of operation to only 16 crypto exchanges in the country. And all of them are members of the Jvcea.
Jvcea made clear it’s interest of seeking to become a “certified fund settlement business association,” which will serve as a self-regulatory body for crypto exchanges.
It’s main objectives include providing “guidance and recommendations to members to comply with regulations, laws and self-regulation rules,” the Jvcea’s announcement reads. The association hopes to contribute “to the sound development of the virtual currency exchange industry and the protection of the interests of users.”
According to To-o Nippo Press:
“The Financial Services Agency will carefully examine the affairs of the association and carefully investigate whether proper group management can be expected. It will take 1 to 2 months for the review.”
Aside from Jvcea, Japan also has two other crypto associations which predate the Jvcea: the Japan Blockchain Association (Jba) and the Japan Cryptocurrency Business Association (Jcba). Most crypto exchanges in the country are members of one or both of these organizations.