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JVCEA: Overview of the Self-Regulatory Framework

Confidence: Likely Updated 2026-05-19 Review by 2026-08-07 Sources 3 Machine-translated Original (JA)
#exchanges#vasp#regulation#jvcea#self-regulatory
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Recognised Financial Instruments Business Association and Second-Type Recognised Funds Settlement Business Association, recognised on 2018-10-24

1. Overview

  • Name: Japan Virtual and Crypto assets Exchange Association (formerly Japan Virtual Currency Exchange Association; renamed in 2020-05)
  • English name: Japan Virtual and Crypto assets Exchange Association
  • Established: 2018-04, through the consolidation of two predecessor associations
  • Legal status:
    • Recognised Financial Instruments Business Association under the Financial Instruments and Exchange Act
    • Second-Type Recognised Funds Settlement Business Association under the Payment Services Act
  • Recognition date: 2018-10-24, with dual recognition from the FSA
  • Purpose: To formulate self-regulatory rules for crypto-asset exchange and derivatives businesses, protect users, and promote a sound industry
  • Location: Chuo-ku, Tokyo

2. Organisation and governance

  • Chairperson: Elected from representatives of member companies, based on public information
  • Vice chairpersons: Multiple, typically drawn from major industry VASPs
  • Auditors: Independent audit function, including external participation
  • Secretariat: Full-time staff handling day-to-day operations
  • Specialist committees: Token review committee, audit committee, dispute resolution committee, AML/CFT committee, and others

3. Five core self-regulatory functions

  1. Membership screening: Reviews the structure and compliance of VASPs applying for membership, both before and after FSA registration
  2. Token review (White List): Prior-review framework for new listings. Members must obtain JVCEA approval before handling newly listed tokens. The framework includes a standard prior review and a simplified review. See JVCEA whitelist token listing for details.
  3. Audits and monitoring: Ongoing review of member operations, financials, and asset segregation. This is also reflected in spot-volume statistics analysis.
  4. Dispute resolution (ADR): Handles complaints and disputes between users and members as the designated ADR body
  5. Public awareness and education: Publishes industry reports and statistics, and supports financial literacy activity

4. Membership categories

  • Type 1 members: Crypto-asset exchange businesses and crypto-asset derivatives businesses that are registered with the FSA
  • Type 2 members: Associate and related businesses, including firms not registered with the FSA, firms preparing registration, infrastructure providers, and overseas partner institutions
  • Exact total membership count: Published on a rolling basis on the official JVCEA member page; if no reference date is given, this article treats the exact total as not fixed

5. Relationship with the FSA: a dual-supervision structure

  • Crypto-asset exchange businesses in Japan operate under a two-layer structure: direct FSA supervision under the Payment Services Act / amended FIEA, plus JVCEA self-regulation
  • The FSA recognises JVCEA as a formal body and leaves certain implementation details to it, including White List operations and revisions to self-regulatory rules
  • This is the core reason Japan’s VASP regulatory structure is often described as a hybrid of public supervision and industry self-regulation
  • Related: Japan financial regulation - the FSA is the primary regulator, while JVCEA provides industry self-regulation