Ahead ofJapan’s strict crypto monitoring regime starting in June, cryptocurrency exchange bitFlyer hasadopted tougher anti-money laundering (AML ) rules for digital assettransactions. The measures are in line with global financial watchdogFinancial Action Task Force’s (FATF) AML regulation known as the ‘TravelRule’.
BitFlyer Adopts Travel Rule
Japan’supcoming rules are expected to impose stricter AML measures on cryptocurrencytransactions in line with the Travel Rule. Finance Magnates reported thatnon-compliant firms are expected to face criminal charges in line with the newregulation.
Under theTravel Rules, crypto exchanges, wallet platforms, and other service providersare required to share certain customer information for transactions that aremore than $3,000. This includes details such as the name and address of thesender and recipient, along with their account information.
Embracing these rules, bitFlyer said it has introduced restrictions on deposits and cryptotransfers to all its corporate and individual customers. The restriction means that users will not be able to initiate transactions with exchanges that are notpart of the Travel Rule Universal Solution Technology (TRUST) network.
TRUSTnetwork is a messaging protocol to securely transmit information betweenvirtual asset service providers. The platform was developed by leadingexchanges such as CoinbaseBitGo, and Paxos.
In theannouncement, BitFlyer noted that TRUST-supported digital assets currentlycovered by its platform includes Bitcoin (BTC), Ether (ETH) and ERC-20 tokenssuch as Shiba Inu, MATIC and LINK. The firm also pointed out that only cryptocurrency exchange CoinCheckis TRUST-compliant in Japan and only BTC transactions arecurrently permissible with the exchange in line with the Travel Rule. However, BitFlyer expects ETH and ERC-20 tokens to join thelist soon.
“In thefuture, depending on the response of other crypto asset exchange companies, wewill consider adopting travel rule solutions other than TRUST to improvecustomer convenience,” BitFlyer said in a statement in Japanese (as translated by Google). It further pointed out that it could decide to change how it handles crypto deposits and transfers.
Stablecoinsin Japan
Meanwhile,Japan’s financial regulator recently disclosed that the country intends to allow localinvestors to trade foreign stablecoins such as USD Coin (USDC) or Tether (USDT) latest bythe end of the second quarter this year. However, certain restrictions arestill expected.
Thedevelopment follows the country’s passage of a regulation last year that defined stablecoins as digitalmoney. The law requires that stablecoins must be linked to the Japanese yen oranother legal currency. It also limits the issuance of stablecoins to licensedbanks, registered money transfer agents and trust companies.
Huobi HK launches; US approves Eurex BTC Futures; read today’s nuggets.
Ahead ofJapan’s strict crypto monitoring regime starting in June, cryptocurrency exchange bitFlyer hasadopted tougher anti-money laundering (AML ) rules for digital assettransactions. The measures are in line with global financial watchdogFinancial Action Task Force’s (FATF) AML regulation known as the ‘TravelRule’.
BitFlyer Adopts Travel Rule
Japan’supcoming rules are expected to impose stricter AML measures on cryptocurrencytransactions in line with the Travel Rule. Finance Magnates reported thatnon-compliant firms are expected to face criminal charges in line with the newregulation.
Under theTravel Rules, crypto exchanges, wallet platforms, and other service providersare required to share certain customer information for transactions that aremore than $3,000. This includes details such as the name and address of thesender and recipient, along with their account information.
Embracing these rules, bitFlyer said it has introduced restrictions on deposits and cryptotransfers to all its corporate and individual customers. The restriction means that users will not be able to initiate transactions with exchanges that are notpart of the Travel Rule Universal Solution Technology (TRUST) network.
TRUSTnetwork is a messaging protocol to securely transmit information betweenvirtual asset service providers. The platform was developed by leadingexchanges such as CoinbaseBitGo, and Paxos.
In theannouncement, BitFlyer noted that TRUST-supported digital assets currentlycovered by its platform includes Bitcoin (BTC), Ether (ETH) and ERC-20 tokenssuch as Shiba Inu, MATIC and LINK. The firm also pointed out that only cryptocurrency exchange CoinCheckis TRUST-compliant in Japan and only BTC transactions arecurrently permissible with the exchange in line with the Travel Rule. However, BitFlyer expects ETH and ERC-20 tokens to join thelist soon.
“In thefuture, depending on the response of other crypto asset exchange companies, wewill consider adopting travel rule solutions other than TRUST to improvecustomer convenience,” BitFlyer said in a statement in Japanese (as translated by Google). It further pointed out that it could decide to change how it handles crypto deposits and transfers.
Stablecoinsin Japan
Meanwhile,Japan’s financial regulator recently disclosed that the country intends to allow localinvestors to trade foreign stablecoins such as USD Coin (USDC) or Tether (USDT) latest bythe end of the second quarter this year. However, certain restrictions arestill expected.
Thedevelopment follows the country’s passage of a regulation last year that defined stablecoins as digitalmoney. The law requires that stablecoins must be linked to the Japanese yen oranother legal currency. It also limits the issuance of stablecoins to licensedbanks, registered money transfer agents and trust companies.
Huobi HK launches; US approves Eurex BTC Futures; read today’s nuggets.
