The epic failure of the Sam Bankman-Fried-led FTX exchange prompted Japan’s Virtual and Crypto assets Exchange Association (JVCEA) to streamline token listing on local exchanges.
The new JVCEA token streamlining program ensures that coins previously traded in any Japan Exchange will not be subjected to a stringent pre-listing process if it wants to list on another Japan-based Exchange.
However, the easing of crypto listing regulations those not help new tokens aiming to make inroads into Japan’s local market. This means new tokens will still be subjected to existing processes to meet JVCEA standards and guidelines.
Japan’s JVCEA to grow the domestic crypto market
The latest move by JVCEA will not only open up the industry but may also encourage the widespread adoption of crypto in the country.
Genki Oda, vice chairman of the JVCEA, confirmed that by March 2024, the controlling authority might completely discontinue the screening process in order to lower the entry barrier for smaller crypto firms and bring Japan up to par with its South Korean neighbor, which currently has 650 coins while Japan only has 50.
Japan’s prime minister, Fumio Kishida, has also shown great support for different kinds of digital finance, web3 adoption, and non-fungible tokens (NFTs). He reiterated his desire to reinvigorate the economy through “new capitalism” measures that connect with his favorable stance toward crypto.
Fumio also revealed that in 2023 he might liaise with the JVCEA to consider a possible relaxation of tax rates on crypto profits.