Expectations for Japanese Regulators to Reverse Ban on Foreign Stablecoins Rises

Stablecoin

A new stablecoin regime for Japan could be underway. Japan became one of the first big countries to establish a legal framework for stablecoins in June. Six months later, it is taking yet another crucial step to tweak the existing ban as the Financial Services Agency (FSA) is looking to lift the ban on foreign-issued stablecoins.

It is still unclear which tokens will be made available. However, Circle and Coinbase-backed USDC and Tether’s USDT are expected to make a comeback. As per the report by the local news agency Nikkei, the new stablecoin regulation is likely to be introduced in 2023.

Under the new rules, distributors will be tasked with handling the stablecoins instead of the foreign issuers to protect their value. The digital asset exchanges in the country will be able to handle stablecoin trading under the condition of asset preservation by deposits and an upper limit of remittance.

The FSA has proposed a maximum amount of remittances for such stablecoins to be capped at 1 million yen (or $7,500 per transaction).

For domestically minted stablecoins, on the other hand, the issuer will be required to prepare assets as collateral. Moreover, only banks, fund transfer service providers, and trust companies can be issuers in the Japanese stablecoin market.

The FSA will mandate stablecoin distributors to record transaction details such as user names as part of anti-money laundering (AML) measures. The financial regulator also plans to start collecting feedback on proposals for its draft guidelines on stablecoins.

This Post Has 5 Comments

  1. Pete

    I’ve been browsing online greater than three hours today, but I never found any interesting article like yours. It is lovely worth sufficient for me. Personally, if all web owners and bloggers made excellent content as you did, the net might be much more helpful than ever before!

  2. choose escape room

    Hi! Do you know if they make any plugins to assist with Search Engine Optimization? I’m trying
    to get my site to rank for some targeted keywords but I’m not seeing very good results.
    If you know of any please share. Thank you! You can read similar article here: Where to escape room

  3. Backlink Portfolio

    Hello! Do you know if they make any plugins to assist with Search Engine Optimization? I’m trying to get my website to rank for
    some targeted keywords but I’m not seeing very good gains.

    If you know of any please share. Thanks! I saw similar blog here: Scrapebox AA List

  4. sklep

    Wow, wonderful blog layout! How long have you ever been running a blog for?

    you made running a blog look easy. The whole look of your site is wonderful, as smartly as the content material!

    You can see similar here ecommerce

  5. Create Account

    The point of view of your article has taught me a lot, and I already know how to improve the paper on gate.oi, thank you.

Leave a Reply

Important Link

Fund Your Deriv Account
Withdraw Funds to Your Local Currency
VIP Trading Signals
Learn To Trade

Contact Us

Follow Us

Disclaimer

Forex, Crypto, Options, and Binary Options have both large potential rewards and large potential risks. Therefore, before investing or trading any of the assets, ensure you are aware of and willing to accept the accompanying risks. Do not trade money you cannot afford to lose.

All Rights Reserved. None of the content of this website can be published elsewhere by any means without the prior consent of the owner(s). Please, check our terms & conditions and privacy policy before continuing to use this website.

This website and its owner(s) are not in any way liable for any incurred loss, whether caused by the information provided on this website or otherwise. The use of this website, including the content and information provided, is the user’s sole liability.