Japan to Get Self-Regulatory Body for Crypto Exchange Industry
According to Asahi Shimbun’s reports on 24th April, Japan would soon be getting their first self-regulatory body for the country’s crypto exchange industry.
The Japanese news agency reported that the sixteen licensed exchange operators of Japan have finally taken steps to launch the Japanese Cryptocurrency Exchange Association (JCEA).
Not long ago, the exchanges were in the spotlight due to Coincheck’s 530 million USD heist in that happened in January. The aim of the self-regulatory body would be the creation of compliance standards and best practices which every member of the body would have to uphold.
According to Taizen Okuyama, the president and CEO of the forex firm, Money Partners, who is the JCEA chairman, the body would also advise the exchanges not registered as the cryptocurrency licensing scheme of the country with regard to cross-industry development.
Taizen told Asahi Shimbun:
“I would like to create a situation where I can give advice to (unlicensed exchanges), the development of the industry as a whole is important.”
JCEA’s creation has been a long process. In fact, the planning surfaced a long while back in February. The current members of JCEA are existing members of the two industry entities—Japan Cryptocurrency Business Association (JCBA) and Japan Blockchain Association (JBA).
Back then in February, Yuzo Kano, JBA’s executive director hinted that their efforts of developing industry standards wouldn’t show results right off the bat, and would take a lot of time. Even though there was a pressing need for avoiding something like the Coincheck heist happening again.
Yuzo Kano wrote on Twitter in February that there is progress, but it is not yet a concrete fact. With JCEA, we can expect the progress to actually be a concrete fact.