Japan‘s landmark move to ban crypto insider trading highlights the growing pains of a maturing asset class. Reported by Nikkei Asia, the FSA’s planned amendments represent an effort to impose traditional financial market integrity rules onto the dynamic world of digital assets.
The proposed law would grant the SESC authority to investigate and fine offenders, but it also exposes the complexities of regulating decentralized technologies. A key hurdle will be defining “insider information” for assets that often have no central issuer.
This regulatory push, coinciding with deals like PayPay’s investment in Binance Japan, underscores the government’s intent to bring order to a sector increasingly intertwined with mainstream finance.
