Japan Passes Revised Financial Instruments Law to Bring Crypto Assets Under Financial Oversight

Japan's revised Financial Instruments and Exchange Act was approved by the House of Councillors on July 15, formally placing crypto assets under the country's financial product regulatory framework. According to ChainCatcher, the law strengthens user protection and requires exchanges to post a liability reserve, a move the industry expects to accelerate consolidation and shakeout in the sector. Financial Services Agency Market Division Director Masahiko Saito said the agency does not endorse crypto asset trading and does not recommend it.