All virtual currencies are to be governed by the recently updated stablecoin statute, which also restricts their issue to banks and fund transfer businesses that can provide collateral assets.
Based on current norms for asset management and anti-money laundering measures, the Financial Services Agency proposals for stablecoins in Japan would grant domestic firms the authority to conduct overseas stablecoin transactions.
According to reports, the FSA remittance cap per transaction will be $7,500. (1 million yen). The regulator's feedback evaluations exercise, scheduled to begin after December 26, requires information about users from all local companies prepared to handle and distribute stablecoins.
The FSA in a statement said that several laws would be needed to permit the distribution of stablecoins in Japan by 2023, and that the proposed feedback exercise will provide the FSA with the crucial direction and insight.