Japan’s FSA Weighs New Registration Rules for Crypto Custodians

Simran

Japan’s FSA plans new registration rules for crypto custodians and trading firms to tighten oversight.

The move follows the ¥48.2B DMM Bitcoin hack, exposing flaws in outsourced trading systems.

Only registered custodians and trading firms can serve exchanges under the new proposal.

The Financial System Council backed the plan on Nov 7, 2025, to improve crypto security.

FSA may amend financial laws by 2026 to protect investors and boost market confidence.

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