Coin World News reports that Japan is considering new lightweight legislation for cryptocurrency intermediaries at non-cryptocurrency exchanges. Recently, the Financial Services Agency (FSA) presented its ideas to the Financial System Council's Payment Services Working Group. Japan introduced legislation in 2017 for Cryptocurrency Asset Exchange Service Providers (CAESP), covering the buying and selling of cryptocurrencies, acting as brokers, managing funds related to these services, or providing custody. However, many so-called introducers who do not operate cryptocurrency exchanges do not consider themselves CAESP. Therefore, the FSA is considering a proposal requiring them to register as intermediaries. Introducers will be obligated to provide information to users and will face advertising restrictions; if problems arise, they may bear liability for damages. The FSA is also considering how to handle damages. Current regulations for other financial service intermediaries that do not belong to larger groups require them to provide a margin to cover potential damages. If the intermediary is affiliated with a cryptocurrency exchange, the exchange may bear the liability for damages.
