Japan to Put Virtual Currency Exchanges under Surveillance (News)
Tokyo, Sept. 24 (Jiji Press)--Japan's Financial Services Agency will put virtual currency exchanges operating in the country under full surveillance from October, officials have said.
The FSA will monitor whether the exchanges for Bitcoin and other digital currencies have appropriate internal systems, including ones to protect customer assets. If necessary, the agency will carry out on-site inspections.
Virtual currencies have led to the creation of innovative services thanks to their low settlement and remittance costs, while they have been used in crimes such as fraud and money laundering.
"We pursue both market fostering and regulation enforcement," an FSA executive said. "We aim for sound market development."
Virtual currencies can be bought and sold on exchanges run by private companies. Pundits say there are more than 20 such exchanges in Japan.[Copyright The Jiji Press, Ltd.]