Two VPs From Japan’s Crypto Regulatory Association Resign From Their Positions
According to a report made on June 25, two vice-presidents of Japan’s self-regulatory cryptocurrency exchange organization stepped down from their position after their exchanges were warned by the regulators.
Just a week after the Japan Virtual Currency Exchange Association (JVCEA) issued its first regulations for crypto exchanges, Yuzo Kano and Noriyuki Hiroyuki announced they will be resigning from their position as vice presidents of the association.
Kano and Hiroyuki are the CEOs of crypto exchanges bitFlyer and Bitbank respectively, which were both presented with business improvement orders from Japan’s Financial Services Agency (FSA) on June 22nd.
Part of the current clampdown on Japan’s cryptocurrency exchange industry, a total of six exchanges will now have to follow the strict requirements imposed, which have to deal with mostly anti-money laundering (AML) and know-your-customer (KYC) procedures.
The FSA for bitFlyer required they implement a series of new measures, including “an effective management system […] to ensure proper and reliable operation of the business, as well as countermeasures against money laundering and terrorist financing.”
On the other hand, the JVCEA seemed unsurprised by the news, making a statement in which it promises it will carry on to accomplish its objective.
“[W]e will continue to do our utmost to protect the interests of users and to promote the sound development of the virtual currency exchange industry, including the early establishment of voluntary regulation rules,” was written in the statement issued today.
Currently, it is yet unknown who will be the replacements for Kano and Hiroyuki, and if their leaving will impact the association’s forthcoming endeavors.