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Crypto Fever Plummets 14% in Japan Amid Bitcoin Exchange Sweeps


www.ccn.com 03 September 2019 13:10, UTC
Reading time: ~3 m

Interest in cryptocurrencies like bitcoin tumbled 13.9% in Japan, according to the country's financial regulator.

In data posted Sept. 3, the Financial Services Agency (FSA) says the volume of crypto-related inquiries fell in the latest quarter. The office handled 494 inquiries about crypto assets in the second quarter ended June 30.

That's a 13.9% decline from the 574 inquiries it handled in the previous quarter ended March 30. Moreover, the office received 89 complaints about fraudulent investment offers.

FSA cracks down on crypto exchanges

The drop in the number of crypto-related consultations suggests that interest in cryptocurrencies is waning in Japan. However, the decline could be related to the FSA's recent crackdowns on bitcoin exchanges.

As CCN reported in May, the Financial Services Agency is targeting bitcoin exchanges that don't adequately confirm their clients' identities or offer anonymous transactions. It's part of a sweeping program to stem money-laundering.

Japan has recently been roiled by money-laundering and hacking scandals. To fix this, the FSA is inspecting the nation's anti-money laundering protocols over the next few months.

Bitcoin evangelist: FSA wants bitcoin to succeed

Meanwhile, bitcoin evangelist Anthony Pompliano insists the FSA remains bullish about BTC.

In a Sept. 3 tweet, Pompliano claims that "Japan's Financial Services Agency is a big proponent of Bitcoin and Lightning Network."

Japan’s Financial Services Agency is a big proponent of Bitcoin and Lightning Network.

This is the Agency’s Commissioner (top boss) on the left and the Director of Innovation on the right.

The first country that embraces Bitcoin will have a significant advantage 🙏🏽 pic.twitter.com/cgPkZcZCKQ

— Pomp 🌪 (@APompliano) September 3, 2019

Pompliano added that the FSA executives he met with in Japan "want to see Bitcoin/LN succeed."

Moreover, he claims that Japan wants to position itself as a world leader in the budding crypto industry.

They have fairly clear regulatory framework, they want to see Bitcoin/LN succeed, they specifically told me that they think open networks will win, and they are hoping to be a world leader in adopting both aspects of the tech

— Pomp 🌪 (@APompliano) September 3, 2019

Bitcoin price rebounds after slump

Elsewhere in Asia, the Chinese state media denied rumors that China is launching a central bank-backed cryptocurrency in November.

In a terse rebuttal, the Global Times dismissed a recent Forbes report as "inaccurate speculation." Neither the Times nor the People's Bank of China (the nation's central bank) elaborated further.

Meanwhile, the bitcoin price is slowly rebounding after three weeks of declines.

During the recent slump, bitcoin permabull Max Keiser pumped the market by setting a $28,000 bitcoin price target. Keiser cited Game Theory and BTC's rising hash rate for his extravagant projection.

Max Keiser Sets $28,000 Bitcoin Price Target as Market Falters https://t.co/5jknP0cBNi

— CCN Markets (@CCNMarkets) September 1, 2019

Fellow bitcoin bull Raoul Pal hyped FOMO by urging his followers to buy now before prices soar again.

Yesterday, Pal tweeted his frustration at the pessimism expressed by forlorn traders. Pal lamented that "I've never had this many bearish comments" from fellow bitcoiners.

I’ve never had this many bearish comments from the bitcoin community. Feels likes it’s going to go up without a lot of people fully on board... https://t.co/SjZrNaWwb7

— Raoul Pal (@RaoulGMI) September 2, 2019

Click here for a real-time bitcoin price chart.

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