Domestic CEX staking / lending services + regulation

Confidence: Likely Updated 2026-05-19 Review by 2026-09-22 Sources 2 Machine-translated Original (JA)
#exchanges#cex#staking#lending#regulation#vasp
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Wiki route

This entry sits under exchanges index. Read it against FSA crypto-asset exchange registration system — number system / Local Finance Bureau jurisdiction / registration requirements for peer / contrast context and Japan Financial Regulation — Legal Framework for Tokens, Crypto Assets, and Payments for the broader system / regulatory boundary.

Overview

Domestic CEXs offer staking (earning PoS rewards) and lending (earning interest) to customers. The permitted scope is restrictively defined by JVCEA self-regulation + FSA supervisory guidelines; compared with the US (SEC vs Kraken/Coinbase), Japan takes an ex-ante guideline-based approach.

Major domestic services

Regulatory points

  • Avoiding deposit-likeness: kept within the scope of “crypto-asset exchange business” under the revised Payment Services Act · customer-return guarantee obligation
  • Prohibition on principal guarantees: obligation to disclose principal-loss risk (brochures / terms)
  • JVCEA rules: staking is limited to 100% deployment of customer assets · proprietary in-house deployment is prohibited
  • Tax treatment: interest / rewards are miscellaneous income (progressive taxation, max 55%) for individuals / business income for corporations

For details see jvcea-self-regulatory-overview · jp-vasp-regulatory-timeline.

Overseas cases

  • US SEC vs Kraken (2023-02): determined staking-as-service to be an “unregistered securities offering” · cease order + settlement of $30M
  • US SEC vs Coinbase (2023-): similar litigation pending · a comprehensive exchange lawsuit that includes staking
  • EU MiCA (2026 guidelines): staking services envisioned as requiring a separate license
  • Multi-layer comparison: us-crypto-licensing-multi-layer-system

Risk management

  • Slashing risk: a validator’s slashing can cause loss of customer principal
  • Validator selection: disclosure of transparency over in-house vs outsourced (Figment / Blockdaemon etc.)
  • Liquidity risk: liquidity lock-up during the unstaking period (ETH 14-21 days etc.)
  • Token selection: domestic CEXs conservatively offer only major PoS tokens (ETH / SOL / ATOM etc.)