’s Financial Services Agency () is reportedly cracking down on that offer anonymous transactions or have weak identity verification practices in preparation for inspection by the Financial Action Task Force (FATF) this fall. Nikkei Asian Review the development on May 22.
The FATF will reportedly send its investigatory arm to review the strength of the Japanese FSA’s anti-money laundering () policies, which includes policy for crypto exchanges and other financial services.
reportedly was given the worst possible score for identity verification in financial institutions in a 2008 report by the FATF. A decade later, the Japanese FSA issued business improvement orders to practices that did not take appropriate AML measures, such as allowing users to sign up for their accounts with a PO box in lieu of a personal home address.
According to the report, was the first country to implement a registration system for exchanges.
In October, the FATF amended its rules to include crypto exchanges in its AML regulatory framework, and implored G-7 member countries to start implementing strategies for registration, licensing, and monitoring crypto exchanges.
is the Summit on Financial Markets and the World Economy (G20 2019) in Osaka this June, and will be expected to talk address the forum on international crypto regulations and initial coin offerings (). Unlike and , has not declared a national ban on ICOs.
As previously on Cointelegraph, Japanese FSA revealed in January that there are currently seven pending applications for crypto exchange licenses in the country. The applications are reviewed over a six month period, as the financial organization scrutinizes the applicant’s responses to over 400 questions.
In July of last year, the FSA major restructuring in order to better meet the challenges of regulating the and sectors.
Published at Thu, 23 May 2019 02:08:52 +0000
