Japan’s Watchdog Revokes License for Crypto Exchange
June 7, 2018
The Japan’s Financial Services Agency (FSA), the country's major financial regulator that grants licenses for crypto exchanges, has deforced FSHO exchange of the right to license due to repeated violations. The case became the first one in Japan when exchange was deprived of the chance to receive state license.
This spring FSA froze FHSO activity twice as it failed to identify some customers in suspicious transactions on the platform. After the exchange did not make amends, FSA admitted FSHO has got no resources for activity and deforced it of the right to get license.
FSHO became the second Japan’s exchange to be penalized by the regulator. Another one was the notorious Coincheck that fell victim to the largest ever hacking in January.
Note that in March this year the regulator suspended activity for some exchanges due to violations from the main guidelines and standards. However all trading platforms except for FSHO made corrections and acquired the right to continue their activity.