Critical Regulatory Call From This Country! ”Let’s Control Cryptocurrencies Like Banks!”

a senior Japanese official, US and European cryptocurrency He said that he should closely monitor his companies.

Japan Urges Other Countries to Regulate Cryptocurrency Companies Like Banks

Japanese regulators are calling on other countries to regulate cryptocurrencies like banks, Bloomberg reports.

Mamoru Yanase, Deputy Director General of the Strategy Bureau of the Japan Financial Services Agency (FSA), spoke to the news agency. Yanase said:

“Crypto has grown so much… If you want to regulate effectively, you have to do the same as you regulate and oversee traditional institutions.”

Yanase continued to comment on FTX’s collapse. He argued that the mere existence of krypton did not cause this event. Instead, he warned that “poor management”, “loose internal controls” had led to the company’s major scandal.

That’s why Japan’s FSA has begun to encourage similar regulators in other countries, including the US and Europe, to regulate crypto exchanges as extensively as they regulate banks, he said.

He said that Japan advocates global crypto regulation through its position within the international Financial Stability Board.

Yanase suggested that foreign regulators may request new measures from crypto exchanges during the call.

One such measure could be on-site audits to ensure companies are properly managing their client assets. He also proposed a “multinational resolution mechanism” that would help countries work together in the event of major companies failing.

Despite calls for such regulation, Japan is generally recognized as a reasonably crypto-friendly country. There are few regulations restricting cryptocurrency and companies that want to work with crypto are allowed to register as crypto exchanges.

*Not investment advice.