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Japan plans to lift ban on stablecoins issued overseas: report

Japan's Financial Services Agency (FSA) reportedly plans to allow the circulation of foreign-issued stablecoins in the local market next year.

From the Forkast crypto archive

Japan’s Financial Services Agency (FSA) plans to allow the circulation of foreign-issued stablecoins in the local market next year, Nikkei reported on Monday.

See related article: Japan eases token vetting process to expand crypto offerings: report 

Fast facts

  • The regulation may come into effect in 2023 alongside the “Revised Payment Services Act,” Nikkei reported
  • The FSA reportedly said greenlighting overseas stablecoins will require stricter anti-money laundering measures, according to the report.
  • In June, the Japanese parliament passed a bill to ban non-banking institutions from issuing stablecoins.
  • Cryptocurrency exchanges in Japan registered with the FSA currently do not offer stablecoin trading pairs, including popular assets such as USDT and USDC.

See related article: Japan lawmaker urges further ease to crypto regulation