Japan’s Financial Regulator will be Conducting Inspections on 15 Unregistered Crypto Exchanges

Suzat

February 17, 2018 5:27 pm

Japan's Financial Regulator will be Conducting Inspections on 15 Unregistered Crypto Exchanges | Coindelite News
27621 Total Views

The Unregistered Crypto Exchanges to get inspected by Japan’s Financial Regulator

According to the reports, Japan’s Financial Services Agency (FSA) announced that it is conducting on-site inspections of 15 cryptocurrency exchanges that are currently awaiting registration in the aftermath of the Coincheck hack. Japan-based crypto exchange Coincheck was hacked on Jan. 26 and hackers stole around $530 mln in altcoin NEM.

The government must register Japan’s legalization of Bitcoin (BTC) as a payment method in April 2017, crypto exchanges. Crypto exchanges which were operating in Japan before April 2017 were able to continue operations while applying for their registration says The Japan Times.

Coincheck, which is unregistered but the application was under review at the time of the hack, was inspected by the FSA after the hack on Feb. 2 to ensure user protection.

The FSA told every crypto exchanges in Japan to submit a risk management system report in the wake of the hack. After receiving the reports from Japan’s 16 registered and 15 unregistered exchanges, the FSA declared the on-site inspections of the unregistered exchanges.

Financial Services Minister Taro Aso said that the on-site inspections would pay special attention to computer system safety measures and the management of customer assets, reported The Japan Times.