CEO Monex: Japanese crypto exchanges need stricter rules

CEO Monex: Japanese crypto exchanges need stricter rules

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The head of online broker Monex Group Inc Oki Matsumoto is convinced that Japanese crypto exchanges should be regulated on the same principles as banks, as they store investors’ funds. This is reported by Reuters.

“Japanese exchanges carry out mashing and, like banks, provide services for the storage of funds,” Matsumoto said. “For people like me – representatives of the financial industry, it seems reasonable if the rules become somewhat stricter”.

At present, 32 crypto exchanges operate in Japan. The rules introduced last year oblige trading platforms to separate users’ funds from the assets of exchanges. However, this requirement has not yet been implemented in practice.

It is also interesting that the auctions, based on the yen, account for half of the world. This data is provided by cryptocompare.com.

According to regulators, in March, 3.5 million Japanese commercial digital money is accounted for, with the majority between the ages of 20 and 40, who seek financial firms. This is due to the fact that the country’s population is shrinking and increasing.

As for local online brokers, like Monex, such companies strictly abide by this principle. At the same time, the currency and securities of users are stored with third-party depositories, such as trust banks.

The market has so far reacted positively to such changes on the part of Matsumoto.

Monex shares climbed 66 percent, and the brokerage company Coincheck peaked in a decade.

Nevertheless, Matsumoto, who uses cryptocurrencies, said that some large companies showed interest in the Coincheck deal.

Earlier it was reported that the Japanese exchange Coincheck, which suffered from hacking, will be transferred to the online broker Monex before the end of April. The transaction amount is 3.6 billion yen ($ 33.6 million).

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