On June 8, PANews reported that the Japanese Senate passed an amendment to the (Fund Settlement Law). The current bill was submitted to the Diet in March this year, including the establishment of a new 'intermediary business' for cryptocurrency services. The amendment aims to respond to the process of financial digitalization while ensuring user protection and promoting innovation. It allows companies to engage in matching services without the need to register as cryptocurrency exchange operators, aiming to lower market entry barriers and promote innovation in crypto finance. The amendment also introduces a 'domestic retention order' clause, granting the government the authority to order platforms to keep some user assets within Japan when necessary, in order to prevent asset outflow risks similar to those caused by the FTX bankruptcy incident. The new law is expected to officially take effect within one year from the date of announcement.
