Japanese Financial Authority Inspecting 32 Cryptocurrency Exchanges

The Japanese Financial Services Agency has announced that it is inspecting all 32 cryptocurrency exchanges in Japan. This includes 16 exchanges that have not obtained a license but are currently under review by the agency and those that are already fully licensed.

16 Exchanges Fully Licensed

The Japanese Financial Services Agency (FSA) published a list on Friday of 32 cryptocurrency exchanges in Japan. This includes 16 exchanges that are already licensed and 16 other exchanges that have applied for a license and are currently under review.

The FSA first approved 11 exchanges in September of last year: Money Partners, Quoine, Bitflyer, Bit Bank, SBI Virtual Currencies, GMO Coin, Bittrade, Btcbox, Bitpoint, Fisco Virtual Currency, and Zaif.

Then in early December, 4 companies were additionally approved to operate cryptocurrency exchanges: Tokyo Bitcoin Exchange, Bit Arg Exchange Tokyo, FTT Corporation, and Xtheta Corporation. At the end of December, another exchange, Bitocean, was approved. In total, 16 businesses are licensed to operate cryptocurrency exchanges in Japan.

16 More Exchanges Under Review

Before Friday, the FSA has never revealed the names of the companies that have applied for a license and are under review. In addition to the aforementioned 16 exchanges, another 16 are currently not licensed but are classified as “deemed virtual currency exchange traders” while under review, the agency explained. Among them is Coincheck, one of the country’s largest cryptocurrency exchanges.

The other 15 are Minnano Bitcoin, Payward Japan, Lemuria Bitcoin Exchange (Bitcrements), Campfire Corporation, Tokyo Gateway, Lastroots Corporation, Debit, Eternal Link, FSHO Corporation, Kirin Corporation, Bit Station, Blue Dream Japan, Mr. Exchange, Bmex Corporation, and Bitexpress Corporation.

Inspections of All Exchanges

The agency published this list of all exchanges in response to the hack of Coincheck, where 58 billion yen (~USD$530 million) worth of NEM were stolen last week. While the exchange has promised to repay its 260,000 affected customers out of its own capital, no timeframe has been set.

Following the hack, the FSA issued a business improvement order to Coincheck and ordered it to submit a report by February 13 on the hack as well as measures for preventing a recurrence. The agency also conducted an on-site inspection of the exchange on Friday to “ensure the protection of users,” Japan Times quoted Finance Minister Taro Aso explaining. The agency also plans to find out if Coincheck has the financial resources to repay its customers.

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Wirex and SBI Holdings Partner Up, Prep to Launch Bitcoin Card in Japan

London crypto-payments company Wirex just partnered with Japanese-based SBI Holdings. Their goal is to produce a bitcoin and cryptocurrency payment card for Japanese customers. The partnership is geared to create more mass adoption for cryptocurrencies and break Wirex into the mainstream limelight.

Wirex also has an early start in japan, as it has an initial customer base. Their CEO, Pavel Matveev, elaborated: “Japanese customers are our most enthusiastic supporters and use our VISA-backed cryptocurrency debit card more regularly than anywhere else in the world. They deserve a Yen denominated card soon and we will deliver it to them.”

Formation of the Partnership

The partnership was formed several months after SBI group invested $3 million into Wirex. It appears that SBI Holdings hopes to broaden its influence regarding cryptocurencies and bitcoin. SBI Holdings also intends on gaining more knowledge about digital cryptocurrencies. A Finextra article expanded:

The partnership comes months after SBI Group invested $3 million in Wirex, as the Japanese FS giant seeks to build up its expertise in the DLT and cryptocurrency realm. It has also joined the R3 blockchain consortium, while its securities division has taken part in a distributed ledger pilot with the Japan Exchange, IBM and NRI.

Their partnership sets the stage for further development of the cryptocurrency ecosystem, and more usage by individuals and customers. In aWirex and SBI Holdings Partner Up, Prep to Launch Bitcoin Card in Japanddition, Wirex is working to create their own blockchain and allow for bank transactions and balance inquiries, according to the Finextra article.

Wirex’s Previous Endeavors

Previously, Wirex has already released a virtual cryptocurrency credit card via their mobile application. News.Bitcoin.com covered the story when it Broke in July 2016.

“Now through the Wirex app, users can own a virtual Visa card for free, whichWirex and SBI Holdings Partner Up, Prep to Launch Bitcoin Card in Japan Wirex says normally are valued at $3. The virtual card is redeemable within the app. Virtual cards work just like physical cards, but aren’t tangible and cannot be used in places where a physical card is required.”

Users can fund these credit cards with bitcoin and other altcoins, including Ethereum and Monero.

Wirex was previously called E-Coin. They plan on continuing to grow their services in Japan, and maintain a healthy relationship with SBI Holdings.