They finished the first phase of their application review, and now they are at the decision stage
On January 12, 2019, Cointelegraph Japan reported that according to a new procedure offered by the Financial Services Agency (FSA), seven Japanese cryptocurrency exchanges will be either approved or declined to receive their licenses in two months.
FSA is a Japanese government agency and an integrated financial regulator that ensures the stability of the financial system of Japan. The new review process developed by the FSA for cryptocurrency exchanges takes about six months.
At the first stage, an applicant company must answer over 400 questions. After FSA has received the answers, it starts communicating with an applicant to verify business plan, management system, governance, anti-money laundering, cybersecurity, and counter-terrorist financing. This first stage of review takes around four months because FSA’s officers will verify the applicant’s business in person.
When the first stage is successfully finished, the applicant company officially submits its application to the FSA. From this point, the agency has two months to check the application and make decision whether give the license to the applicant or not.
Recently, FSA reported that 21 applicant companies are now participate in the first phase of the review, while seven ones are at the decision stage. So, it can be concluded that up to seven cryptocurrency exchanges will be granted a license by the mid-spring 2019.
Author: Alena Snezhnaya