Crypto exchanges come and go, but it’s the fake ones to worry about. At the moment, Japanese investors are advised to be careful with the exchanges that are replicating the JPX brand, names, logos, and URLs and provide crypto trading services.
Fraudulent Platforms May Act as Subsidiaries
Japan Exchange Group (JPX), the Tokyo Stock Exchange, and Osaka Exchange warned Japanese investors about misleading companies on the market.
There is an ongoing attempt to lure investors into trading crypto on platforms that represent themselves as JPX or its subsidiaries.
JPX published its official announcement on Twitter, noting that fraudulent companies utilize similar names as JPX, calling themselves JPEX or Japan Exchange.
Even though JPX still hasn’t opened on the Japanese market, it’s still testing out blockchain and distributed ledger technologies. The goal of JPX is to improve data transparency and the efficiency of data collection via blockchain.
However, Japan’s plan to boost crypto adoption was welcomed by an increased number of scams in the industry. Recently, its government planned out a proposal that is supposed to help regulated exchanges in listing digital assets on the local markets.
If the proposal is accepted, all exchanges registered with the Financial Services Agency will get permission to list certain assets without a lengthy screening process.