Japan’s FSA reports further decline in number of enquiries about virtual currencies

Maria Nikolova

The FSA received 1,231 enquiries about cryptocurrencies in the quarter to end-September 2018, down from 1,602 in the preceding quarter.

The hype around virtual currencies appears to be subsiding, as indicated by the latest data provided by Japan’s Financial Services Agency (FSA).

The FSA Counseling Office for Financial Services Users handled 1,231 enquiries concerning virtual currencies in the quarter to end-September 2018. This compares with 1,602 such enquiries received in the preceding quarter. Let’s note that the Counseling Office registered 3,559 enquiries about virtual currencies in the first three months of 2018. That is, investors are asking about cryptos more rarely and this trend has become more visible over the past two quarters.

The FSA did not elaborate on the reasons for the decline in such enquiries. Let’s note, however, that the Japanese authorities have continued to tighten their control over virtual currency exchange providers. In September, for instance, the Ministry of Finance issued a business improvement order to Tech Bureau Inc, operator of cryptocurrency exchange Zaif.

This happened about a week after Tech Bureau confirmed that about JPY 6.7 billion in virtual currency had been stolen. The virtual currency was reported to have been stolen from “hot wallets” that lack solid security. The hack, which happened between 5 p.m. and 7 p.m. on September 14, 2018, affected three types of cryptocurrency – Bitcoin, Bitcoin Cash and Monacoin.

Back to the FSA data for the quarter to September 30, 2018, let’s mention that the number of enquiries about investment products also fell – from 2,231 in the quarter to end-June, to 2,016 cases in the quarter to end-September.

Across products, 343 cases (17% of the total) concerned listed stocks, 174 cases (8% of the total) concerned FX, and 169 cases (8% of the total) concerned investment trusts.

There were 167 reports of fraudulent investment solicitation, 99 of which involved damage.

  • Read this next

    Digital Assets

    Japan Is Rapidly Emerging As A Global Leader In Compliant Crypto Payments

    Japan is often hailed as one of the most forward-thinking nations in the crypto industry, with its government taking a very positive stance on the potential of concepts such as Web3. 

    Digital Assets

    Kraken launches institutional arm

    “If you already work with Kraken, you know how much we care about offering high quality products and a client-first experience. We’ve been the leading crypto exchange for more than a decade and through Kraken Institutional, we’ll offer the same deep expertise and cutting-edge technology to propel trading excellence for institutions.”


    Centroid integrates with brokerage solutions provider GTN

    “We are thrilled to integrate GTN into Centroid Bridge, our multi-asset connectivity bridging engine. This integration allows our clients to gain access to the wide range of multi-asset products offered by GTN.”

    Podcasts, Women of the Industry

    FF Podcast delves into the rise of prop trading as Brokeree releases Prop Pulse

    In the latest FinanceFeeds Podcast, Tatiana Pilipenko discusses Prop Pulse, Brokeree Solutions’ platform for prop firms and retail brokers aiming to delve into prop trading. Offering a flat fee structure, Prop Pulse emerges as a scalable solution in an era where successful traders increasingly prefer prop firms over traditional retail brokers.

    Inside View

    Scalping or day trading?

    Among the many popular trading styles with both beginners and experienced traders are scalping, which allows you to extract small portions of profit from each price movement, and day trading, which aims to trade over a single day. In this article, you will learn what scalping and day trading are and their differences and peculiarities. Ultimately, you will learn what to look for to understand which trading style is right for you.

    Crypto Insider

    Unveiling Plasma Next: INTMAX’s Solution to Scale Ethereum with Stateless Layer

     INTMAX has launched Plasma Next on the mainnet α, a groundbreaking Layer 2 zkRollup, revealed by co-founder Leona Hioki at ETH Denver. This innovation offers scalability with constant costs per block, merging Plasma’s scalability goals with zkRollups’ security.


    Nuam selects Vermiculus for clearing system in Chile, Colombia, and Peru

    “We are proud to deliver a system that plays an integral role in the core of this historical merger, empowering one of Latin America’s most crucial markets with VeriClear’s state-of-the-art technology, together with our deep market expertise.”

    Retail FX

    Moomoo launches super app in Malaysia

    “As an investment platform connecting 21 million retail investors globally, we envision collaborating with exchanges, regulatory bodies, and partners in the visible future to become the gateway, connecting Malaysia’s investment products to global capital and investors.”

    Executive Moves

    FXPA elects Joe Hoffman as new Chair in its 10th anniversary

    “The opportunity to serve as Chair of the FXPA is truly an honor, and I am committed to upholding the exceptional work of a FXPA. Given the recent market fluctuations due to global tensions, inflationary pressures, shifts in monetary policy, as well as the outcome of the US election and the risk of recession, brings the potential for more FX volatility in 2024. I am dedicated to expanding the FXPA’s membership and I’m excited about collaborating with all members to echo the unified voice of the FX market.”