Japanese authorities will check 32 cryptocurrency exchanges
The Japanese Financial Services Agency (FSA) announced that it will audit all 32 cryptocurrency exchanges operating in the country. Writes about it Bitcoin.com.
A list of 16 exchanges that have already been licensed by the regulator and 16 exchanges with pending applications was released this Friday.
The first 11 Japanese exchanges were licensed last September. These include Money Partners, Quoine, Bitflyer, Bit Bank, SBI Virtual Currencies, GMO Coin, Bittrade, Btcbox, Bitpoint, Fisco Virtual Currency, and Zaif. In December, 5 more companies joined them: Tokyo Bitcoin Exchange, Bit Arg Exchange Tokyo, FTT Corporation, Xtheta Corporation and Bitocean.
Prior to the publication of this list, the FSA did not disclose which exchanges’ applications are pending. According to the regulator’s classification, these trading platforms are “recognized by virtual currency exchanges”. These include Coincheck, one of the country’s largest exchanges, as well as Minnano Bitcoin, Payward Japan, Lemuria Bitcoin Exchange (Bitcrements), Campfire Corporation, Tokyo Gateway, Lastroots Corporation, Debit, Eternal Link, FSHO Corporation, Kirin Corporation, Bit Station, Blue Dream Japan, Mr. Exchange, Bmex Corporation and Bitexpress Corporation.
The current checks are related to the recent hack of the Coincheck exchange, as a result of which hackers were able to steal about 500 million XEM tokens. The FSA has required Coincheck to report the incident by February 13, and has also tightened measures to protect users’ assets. In addition, regulators yesterday conducted a face-to-face audit of the exchange offices to make sure that the company has sufficient financial reserves to compensate for the losses of users, and personally familiarize themselves with the details of the attack..
At the same time, the FSA ordered an internal audit of all remaining cryptocurrency exchanges based on a list of 43 items. They are also required to communicate what measures they are taking to manage risks, client assets and combat cyber attacks..