Japan’s Financial Services Agency proposed moving crypto oversight from the Payment Services Act to the stricter Financial Instruments and Exchange Act.
Japan’s Financial Services Agency (FSA) presented a proposal that would significantly tighten crypto regulation.
A Tuesday FSA report recommends regulating cryptocurrencies under the Financial Instruments and Exchange Act (FIEA), moving them from under the Payment Services Act. This aims to strengthen investor protection and align crypto oversight with securities regulation.
The regulator said that many issues within crypto resemble those traditionally addressed under the FIEA, so it may be appropriate to apply similar mechanisms and enforcement.
