New ICO Regulations in Japan
Financial Services Agency of Japan (FSA) is ready to introduce new Initial Coin Offering (ICO) regulations. ICOs startups will have to register with the financial regulator.
Last month, the Financial Services Agency granted the cryptocurrency in the country a self-regulatory status. However, right now there will be new rules concerning Initial Coin Offering.
A new adjustment should protect cryptocurrency investors from fraud, according to local news website JiJi Press. The report said:
“In view of a number of possibly fraudulent ICO cases abroad, the financial regulator plans to limit individuals’ investment in ICOs for better protecting them.”
Every operator issuing its own cryptocurrency will be obligated to register with the Financial Services Agency.
The FSA plans to submit bills to revise the financial instruments and exchange law and the payment services law to next year’s ordinary parliamentary session, which starts in January 2019.
Japan tries to develop some regulations which will protect investors from scams. According to the Cointelegraph report from July 2018, 80 percent of all ICOs conducted in 2017 were frauds.
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