According to a statement by Nikkei, a Japanese news organization, the government of Japan has begun to make regulations on the use of cryptocurrency.
Stablecoins Will Be Available Next Year
According to reports published by the Japanese news company Nikkei, the Japan Financial Services Agency is making arrangements for the use of the coins for the year 2023. The collapse of the Terra company last year prompted the Japanese government to introduce regulations on stablecoins and cryptocurrencies in order to protect the investor. However, this year, some changes are being made with the regulation made to stable coins. The decisions regarding foreign stable coins will be opened to the public until January 31. The use of stable coins will facilitate trading on the Japanese local market. Moreover, the report states,
“If payment using stablecoins spreads, international remittances may become faster and cheaper.”
Although the work of investors will be easier with the regulations made by Japan, the Japanese government is abstaining from some issues. The Japan Financial Services Agency draws attention to the fact that Anti-Money Launching measures should be further increased with the regulation on stable coins. According to the law issued by the country’s parliament, stablecoins issued by non-banking organizations were banned in the country. It can be said that the new regulation will have a great impact on the Japanese crypto-market. The Japanese government’s regulation of stablecoins will be implemented along with the Payment services law and will come into force in 2023. Additionally, Japanese government officials have warned of the dangers of using algorithmic stablecoins like TerraUSD.
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