A Japanese lawmaker urged more clarity on cryptocurrency regulation after an industry watchdog didn’t tell consumers about potential red flags around FTX’s native coin when it approved the token for a local listing this year.
"It will become more and more important to ensure transparency for consumers when there are any matters that require attention on tokens,” Akihisa Shiozaki, a lawmaker with the ruling Liberal Democratic Party, said in an interview. Still, FTX’s meltdown shouldn’t cause Japan to reverse course in relaxing coin-listing rules, according to Shiozaki, who helped to design the nation’s crypto policy.
Disgraced crypto founder Sam Bankman-Fried’s digital assets empire imploded just as Japan was warming up to crypto again, betting that developing digital asset ventures would help the country’s economic growth. The plummeting value of FTX’s native token FTT was part of the chain of events in the company’s collapse.