Japan’s FSA aims to classify crypto as financial assets
A new proposal could bring cryptocurrencies under financial asset regulations, aligning them with global trends in digital asset oversight.
Japan’s Financial Services Agency (FSA) is preparing to introduce a major regulatory shift by classifying cryptocurrencies as financial assets. The plan includes bringing digital assets under insider trading laws.
The changes will align cryptocurrencies with regulations for stocks and other traditional financial instruments. The FSA is currently working on amending the Financial Instruments and Exchange Act to implement these changes.
The proposed amendment may be submitted to the parliament of Japan as early as next year. It reflects a broader global trend of increasing regulatory oversight for digital assets.
The US Commodity Futures Trading Commission (CFTC) has taken similar steps. It recently announced that digital asset derivatives will be regulated like other financial products. The FDIC allows banks to engage in crypto transactions without prior approval if they manage risks effectively.
The Office of the Comptroller of the Currency (OCC) has issued guidance for banks on cryptocurrency integration. Institutions must implement appropriate risk management measures in their operations.
FDIC Acting Chairman Travis Hill called it a shift toward a more secure crypto environment. The developments highlight a growing global recognition of digital assets and the need for comprehensive regulatory frameworks.
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