People with knowledge of the matter said that the body that governs Japan's nearly $1 trillion cryptocurrency trading market is considering making it easier to list digital tokens, which might help newcomers like Coinbase.
According to sources, under new rules being considered by the industry's self-regulatory body, crypto exchanges would be able to list more than a dozen coins in one go without a long screening process. Until recently, any token listing had to go through a six-month or longer screening process.
The existing system makes it more difficult for new entrants to gain market share by offering a wider selection of tokens, according to the people. According to the sources, no final decision has been made on whether or not to amend the rules.
The current process for approving new listings applies even to large, globally popular coins, the people said. Some JVCEA members have complained that the onerous treatment is holding back the industry’s growth, they added.
The people said that the group assured members in a closed meeting in September that it would improve its token screening efficiency. The Financial Services Agency, which effectively authorises the JVCEA to screen listings on its behalf, has also instructed the association to clarify its approval process, an FSA official said.
According to the sources, under the proposed rules, exchanges would be able to list popular, widely traded coins without going through a lengthy approval process. They stated coins that have been in Japan for six months or more and are traded on at least three local exchanges will qualify. At the moment, there are roughly 15 such currencies, including Bitcoin and Ether.