Japan’s Financial Services Agency also warned lawmakers about blockchain-based prediction markets, while Finance Minister Katayama said Japan still needs continued review of DEX regulation.
Japan’s Financial Services Agency previously asked banks and industry groups to strengthen controls on illicit transfers sent to crypto exchanges amid rising internet banking fraud and refund scams. In a new development, the agency expressed strong caution about blockchain-based prediction markets during a House of Councillors finance committee session on the 21st, after lawmaker Shuichi Harada raised Polymarket. Finance Minister Katayama also said continued review of DEX regulation remains necessary in Japan, indicating broader regulatory scrutiny of crypto-related activity beyond bank transfers.