THELOGICALINDIAN - Japan has afresh overtaken the US and China as the highestvolume country for bitcoin trading in the apple In April the aboriginal Japanese bill with accoutrement for agenda currencies including bitcoin will access into force It will admit bitcoin as a adjustment of acquittal but at the aforementioned time it will appoint regulations on bitcoin barter account providers
Also read: Countdown: Bitcoin Will Be a Legal Method of Payment in Japan in Two Months
What the Bill Means for Bitcoin Exchanges
Japan’s Payment Services Act and the Act on Prevention of Transfer of Criminal Proceeds were adapted on May 25, 2016, to appoint certain regulations on agenda bill 
exchange account providers, including bitcoin exchanges. The drafts of proposed amendments were appear by the Financial Services Agency of Japan (FSA) aftermost December and are accepted to take aftereffect in April.
Any article absent to accommodate a agenda bill barter account charge be registered with the Prime Minister. The amendments lay out abundant added requirements such as accepting a minimum basic of 10 actor yen, deploying acceptable IT arrangement defenses adjoin annexation 
and loss, and accouterment assertive advice to users such as their trading address, allotment cardinal and fee schedule.
Another allotment of the new regulations requires exchanges to authorize several systems and processes, including agent training, centralized rules, governance, and advice for outsourcing. In addition, they charge additionally consistently abide an analysis by a accessible certified accountant or analysis close at atomic already a year and abide alternate action and anniversary reports.
From the Perspectives of Bitcoin Exchanges
The bill aims to assure consumers with “reasonable restrictions,” Yuzo Kano, CEO of 
Bitflyer, told Bitcoin.com. “Even adopted entities who accommodate casework to Japanese association will be adapted beneath the law”, he said.
Bitflyer is the better barter by aggregate today, according to Coinhills. The barter has aloft a absolute of $35.6 actor in allotment up to date, including the contempo advance of 200 million yen from investors such as Mizuho Capital. Other shareholders accommodate ample Japanese corporations such as SBI Investment, Mitsubishi UFJ Financial Group, Mitsui Financial Group, Densu Digital Holdings, and GMO.
Kano noted that:
Kagayaki Kawabata, Business Development Lead at Coincheck, addition above Japanese exchange, told Bitcoin.com that “overall the new bill itself is a accelerating bill that will 
position Japan as the arch Bitcoin country.” However, accustomed that there are so abounding requirements, he feels that “the law will be a huge barrier to access for underfunded aboriginal date cryptocurrency startups”, abacus that “from our standpoint, as a cryptocurrency startup started by a distinct programmer, it’s appealing sad that the new adjustment may clean the abeyant of startups like us”.
Coincheck has been experiencing substantial growth recently, with US$130 actor in account transactions, and new signups at a amount of 1,000 every day. Its merchant processor account is additionally growing quickly, abscess from 1,000 to 5,000 merchants over the aftermost year. Overall Kawabata believes that:
Updating KYC Process
Kawabata explained that “there are assorted requirements we charge to accede with to abide our barter business,” he said. “As an operating exchange, KYC/AML and paperwork are apparently the heaviest part. We charge to accede with austere KYC requirements agnate to banks which account new users’ KYC action to be somewhat complex”.
For Bitflyer, Kano additionally accepted that “we will charge to change the KYC action to fit the new rule.” In apprehension of this bill, he acclaimed that “we accept already been audited and accept able all-important centralized alignment changes.”
Do you accede with the two exchanges that this bill will advice booty bitcoin acceptance in Japan to the abutting level?
Images address of Shutterstock, bitflyer, Coincheck, and Japan’s FSA
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