The Japan Virtual Currency Exchange Association says it will tighten investor protection stipulations after a wave of hacks on digital currency exchanges.
Citing informed sources, the Japan Times reported the Japan Virtual Currency Exchange Association (JVCEA) has agreed to revise certain self-imposed rules to keep investors safe in the wake of hacks.
The JVCEA is set to place a cap on the number of cryptocurrencies managed, which will reportedly equal between 10-20% of customer deposits.
The decision largely comes after hackers managed to walk off with about $60 million dollar’s worth of digital currency from the Zaif exchange earlier in September.
Bitcoinist reported that the company did not actually discover the hack until three days later.
Japan’s Financial Services Agency (FSA) asked Zaif’s owners, Tech Bureau Corp., to send in an incident report and be ready for a physical platform inspection.
Just a couple of days ago, the FSA issued a business improvement order to the company and asked why they did not report the incident immediately.
The JVCEA will now revise their self-imposed rules and then bring them into force once they are approved by the FSA.