The JVCEA is self-regulated collaborative body of 16 Japanese exchanges, all of which are registered under the nation’s Financial Services Agency (FSA). Set up in April this year, the organization was founded to strengthen the regulatory framework surrounding Japanese crypto exchanges, following the Coincheck hack where $530 million was reportedly stolen in NEM (XEM) tokens.
CEO of Money Partners, Taizen Okuyama, has been appointed to spearhead this new group working closely with the country’s existing industry experts, Japan Blockchain Association (JBA) and Japan Cryptocurrency Business Association (JCBA)
On April 23rd, the JVCEA had its first meeting to address core issues surrounding crypto exchanges, concluding that fundamentally there is an urgent need to address customer protection and security.
“I will make sure that security measures and internal controls are in place...We want to eliminate customers’ concerns and work to restore public confidence in order to develop a healthy market.”
The new guidelines are alleged to be announced next week on June 27th, and include new measures such as prohibiting privacy coin trading across all exchanges to prevent money laundering as well as banning insider trading.
While almost all regulatory intervention in the crypto space is typically met with fear and panic, the need to establish uniform regulatory guidelines in situations like these after a devastating security breach, is essential. The JVCEA is a flagship example of industry experts working together to progress forward with virtual currency adoption and ensure a smoother transition into this new technology.
This article appeared first on Cryptovest