Japan Enacts Bill to Boost Crypto Assets Regulation

Tokyo, July 15 (Jiji Press)–Japan’s parliament Wednesday passed a bill to revise the financial instruments and exchange law to regulate crypto assets, in addition to stocks and other securities. The move is aimed at protecting users amid growing demand for crypto assets as investment products. The bill was approved at a plenary meeting of the House of Councillors, the upper chamber of the Diet. Crypto assets have so far been regulated as a means of settlement by the payment services law. Under the revised law, the maximum penalty for unregistered crypto asset traders will be set at 10 years in prison and a fine of 10 million yen, up from three years and 3 million yen, respectively. It also includes regulations on trading in crypto assets based on insider information. In addition, regulations on insider stock trading related to tender offers will be enhanced. Specifically, securities companies and law firms hired as financial advisers will be covered by the revised law, although only corporate executives and other employees involved in tender offers were targeted before the amendment. Surcharge amounts will be raised to deter unfair transactions. END [Copyright The Jiji Press, Ltd.]