The Japanese industry body that makes rules for crypto exchanges is considering easing restrictions on listing new tokens, Bloomberg reported on Wednesday.
- Under the proposed new rules, crypto exchanges will be able to list more than a dozen tokens at once, Bloomberg said, citing people familiar with the matter. The current screening process takes six months or more.
- The Japanese Virtual Currency Asset and Exchange Association (JVCEA) is responsible for approving token listings for crypto exchanges. The Financial Services Agency (FSA), Japan’s regulator, has allowed the association to run the process on its behalf. The existing system makes it harder for new entrants to compete with incumbents if they want to get many tokens approved.
- JVCEA members have complained that the cumbersome process, which even applies to coins that are globally popular, is limiting the industry’s growth, Bloomberg reported. Τhe FSA has also instructed the self-governing body to clarify its approval process, according to the report.
- The new rules will look to make the listing of popular coins easier. Tokens that have been traded in Japan for over six months and are listed on at least three local exchanges will qualify, Bloomberg reported. The association is also looking at how it can improve its approval process for coins that are not traded in Japan.
- The JCVEA is “working … to further refine cryptocurrency assessment,” the association’s chairman Satoshi Hasuo said on Jan. 1.
- The JVCEA is also expected to introduce new requirements for crypto transfers by April 2022 to enforce the Financial Action Task Force’s Travel Rule, which requires customer data to be associated with any transaction, according to an FSA memo.
Read more: Japan’s Taxes on Crypto Firms Are Leading Some to Leave the Country
