BTC Wires: Japan’s domestic cryptocurrency just got a major boost when the new head of Japan’s Financial Services Agency (FSA) reassured the citizens that ‘no excessive’ regulations will be imposed on crypto. He further stated that he will put his weight behind the domestic cryptocurrency sector and help it flourish.
FSA is Japan’s primary financial regulator and Toshihide Endo has newly assumed the position of commissioner of this body. Endo has made it clear to Reuters that the officials want to ‘strike a balance’ between safeguarding investors and consumers from crypto scams, but simultaneously they wish to promote innovative developments in the sector by not strangulating the developers with excessive regulations. He said:
“We have no intention to curb [the cryptocurrency sector] excessively. We would like to see it grow under appropriate regulation.”
This news comes as a relief to crypto enthusiasts across the nation. Earlier this year, a major crypto theft of $530 million from Tokyo-based cryptocurrency exchange Coincheck, shook Japan’s crypto industry. That led to the FSA becoming stringent with their regulations. They started conducting spot checks of exchanges, issuing business suspension orders and they even rejected an application to register a cryptocurrency exchange.
The body was led by Nobuchika Mori at the time, who also happened to be the longest-serving chief of FSA. He encouraged further development in the sector, considering Japan was losing ground to China and South Korea. In retaliation, FSA and Japan’s Ministry of Economy, Trade and Industry (METI) targeted a 40% adoption rate within a decade, with the hopes of boosting the cashless sector.
Japan is the world’s first nation to introduce legislation that recognizes bitcoin and other such cryptos as a legal and legitimate method of payment.