Japanese regulators have reportedly pressured local exchanges to delist privacy coins, calling into question the authority of trading platforms to carry coins that cannot be tracked by law enforcement agencies. Coincheck, the Japanese exchange that was recently hacked, is reported to have dropped the three covert cryptos in a bid to become more compliant with FSA regulations.
The exchange applied for official registration with the FSA in September 2017, but had still not been approved when it was hacked. After a period of downtime, the firm has returned to action, but no longer offers trading in Monero, Zcash, or Dash.
The FSA is reported to have not only increased inspections of registered cryptocurrency exchanges, but also informed other applicants that dealing with these three cryptos would reduce chances of approval. Monero, regarded by its adherents as the one true privacy coin, has been specifically singled out by regulators.
The coin is commonly used by crypto-jackers, and drew the attention of the FSA after it emerged in January that North Korea may be using the practice to funnel funds to the dictatorship. It’s not surprising that Monero has attracted controversy, as its approach to anonymity makes transactions far more removed from prying eyes than its contemporaries—Dash and Zcash.
Whereas privacy is built into the very structure of Monero, it is only offered as an additional feature on Dashand Zcash, and the majority of Zcash transactions are actually public. One of the first major economies to bestow legitimacy on virtual currencies, Japan’s proactive approach to regulation has put it at the bleeding edge of blockchain adoption. Read more from altcointoday.com…
thumbnail courtesy of altcointoday.com