Japan’s Financial Services Agency raised renewed user-protection concerns that crypto-asset exchange businesses may be steering customers toward sales desks, where operators act as counterparties and can more easily earn revenue from wider bid-ask spreads. The issue was discussed on July 15 with the Japan Virtual and Crypto Assets Exchange Association and detailed in materials published on July 17, drawing on a 2025 report by the Financial System Council’s Working Group on Crypto Asset Regulation. The FSA linked the issue to the revised Financial Services Provision Act, which took effect in November 2024 and requires financial business operators, including crypto-asset exchange service providers, to act sincerely and fairly while considering customers’ best interests. The agency plans to discuss whether user-interface design allows customers to understand the differences and costs of sales desks and exchanges and make informed choices. It also called for debate under the Financial Instruments and Exchange Act on clearer fee and service disclosures and the appropriate application of the suitability principle. Separately, revised enforcement rules adopted in March will require IC-chip identity verification for exchange-account openings from April 1, 2027, while the agency’s materials also list a FATF request issued in April.