Circle CEO Jeremy Allaire has advised G20 leaders to make worldwide valid and agreed to cryptocurrency self-regulation. This comes as the Paris-based Financial Action Task Force (FATF) seems on the edge of creating global standards to match the use of cryptocurrency in money laundering. The government has been studying its method toward an industry that has been hit twice by large-scale burglaries. Japan in 2017 was the first country to regulate cryptocurrency exchanges because it had inspired technological invention while safeguarding customer protection. Exchanges have to register with FSA.
Both the regulator and the industry were criticized after about $60 million was stolen from cryptocurrency firm Tech Bureau Corp in September. Before the incident, the company was slapped with two business improvement orders by FSA following the theft of $530 million in digital coins at Tokyo-based cryptocurrency exchange Coincheck Inc in January.
Yuri Suzuki, the senior partner at law firm Atsumi & Sakai, said the self-regulation body rules are stricter than the existing law and she expects them to aid the industry to recover public trust. As per FSA, there are 16 approved crypto exchanges. FSA has not decided or given any new approval from December 2017. Yuri stated that they are looking into more details than before. In that sense, the endorsement procedure has become harsher, as stated in Reuters.
As per Jeremy Allaire, the rules do not go far enough, calling on administrations to also address ICOs themselves and make rules nearby market operation on exchanges. The FSA on recently even published a set of rules for those applying to run crypto exchange.
The agency declared that there are 160 individuals expressed interest. As stated in News BTC, Japan holds self-regulation, Europe is largely tolerant of crypto but lacks a lawmaking agenda around it. Pakistan, Vietnam, Saudi Arabia, and Bangladesh, among others, have acknowledged bitcoin strictly unlawful.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]