The First Rejection
The Japanese Financial Services Agency (FSA) is reportedly preparing to reject an application to run a crypto exchange in the nation. “The very first time it has done so,” Nikkei reported, adding:
The decision follows the ministry’s decision that Yokohama-based FSHO lacks the necessary systems to operate its business…By barring a market operator that it’s found to be substandard, the agency intends to demonstrate its decision to re-establish a solid currency trading environment in Japan.
FSHO is a”deemed dealer” or”quasi-operator” of cryptocurrencies in Japan, meaning it’s been allowed to operate a crypto exchange while its program with the FSA is being reviewed. There are 16 deemed dealers. However, the agency said recently that 8 of these have suggested that they will withdraw their applications and best bitcoin live casino online with manual flushing.
Japan has 16 cryptocurrency exchanges and about 100 businesses are seeking to enter the space including Coinbase, Line Corp, and Yahoo! JapanBitcoin casino finder bitcoincasinoreview.net >Suspended with Corrective Orders
Besides FSHO is the only crypto exchange in Japan to receive two penalty orders from the FSA. The first was on April 6 on March 8 and the second.
From the March order, the agency issued the company a business improvement order and suspended all of FSHO’s businesses. The business was told to correct four areas of operations such as to”Build a position to securely manage user information.” The enhanced measures taken were to be submitted to the agency by March 22.
Rejection to Follow Second Suspension
From the April order, the bureau issued another business improvement order and again suspended all operations regarding cryptocurrencies of the business from April 8 to June 7.
This second order includes five business improvement areas, some of which were just like those in the order. Among new areas are the”Establishment of a successful management system such as money laundering and terrorist financing” and a risk management system. The business was supposed to report the changes to the agencycreate free bitcoin casino bitcoin casino no deposit bonus usa on its review, the FSA found that”the trade did not sufficiently verify the identity of customers in transactions where crime is suspected, or in cases where consumer deposits may be redirected,” Nikkei summarized, adding that:
The suspension period is scheduled to end Thursday, and the exchange will be barred by the agency from operating and deny its registration.
What do you think about this FSA finally rejecting a crypto exchange enrollment? Tell us in the comments section below.
Pictures courtesy of Shutterstock, FSHO, and Nikkei.
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Source: bitcoincasinoreview.net
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