Act on Prevention of Transfer of Criminal Proceeds

a financial instruments business operator prescribed in Article 2, paragraph (9) of the Financial Instruments and Exchange Act (Act No. 25 of 1948) (referred to simply as a "financial instruments business operator" in item (xxxii)) that conducts financial instruments business prescribed in paragraph (8) of that Article (excluding cryptoasset trading business prescribed in Article 28, paragraph (5) of that Act (referred to simply as "cryptoasset trading business" in that item and Article 10-4));

a cryptoasset exchange service provider prescribed in Article 2, paragraph (16) of the Payment Services Actfinancial instruments business operator that conducts cryptoasset trading business;

Verification at the Time of Concluding a Contract with a Foreign-Based Cryptoasset Exchange Service ProviderTrading Business Operator

A specified business operator listed in Article 2, paragraph (2), item (xxxii) (hereinafter referred to as a "cryptoasset exchange service providertrading business operator") must, when entering into a contract with a foreign-based cryptoasset exchange service providertrading business operator (meaning a person that is located in a foreign country and engages in business of the same type as cryptoasset exchange services (meaning cryptoasset exchange services prescribed in Article 2, paragraph (15) of the Payment Services Act)trading business; the same applies hereinafter in this Article) the content of which is to carry out transfers of cryptoassets (meaning cryptoassets prescribed in Article 2, paragraph (1449) of that the Financial Instruments and Exchange Act; the same applies hereinafter) (excluding those accompanying the exchange, etc. of cryptoassets prescribedacts listed in Article 2, paragraph (15) 8), item (xviii) or (xix) of that Act; the same applies hereinafter) on an ongoing basis or repeatedly, verify the following matters concerning that foreign-based cryptoasset exchange service providertrading business operator by the method specified by order of the competent ministry.

The foreign-based cryptoasset exchange service providertrading business operator has established a system that conforms to the standards specified by order of the competent ministry as necessary for accurately carrying out measures equivalent to verification at the time of transaction, etc., including that it has placed the business offices and other facilities necessary for accurately carrying out measures equivalent to the measures under the provisions of Article 4, Articles 6 through 8 and the following Article (hereinafter in this item referred to as "measures equivalent to verification at the time of transaction, etc."), and a person who supervises and manages the implementation of measures equivalent to verification at the time of transaction, etc., in the country in which the foreign-based cryptoasset exchange service providertrading business operator is located or in a foreign country other than that country, and that, with respect to the implementation of measures equivalent to verification at the time of transaction, etc., it is in a state of being under appropriate supervision by an authority of the country in which it is located or a foreign authority of that foreign country that performs duties equivalent to the duties of the administrative agencies prescribed in Articles 15 through 18 (referred to in the following item simply as "state of being under supervision");

The foreign-based cryptoasset exchange service providertrading business operator has not entered into a contract the content of which is to carry out transfers of cryptoassets on an ongoing basis or repeatedly with a foreign-based cryptoasset exchange service providertrading business operator that is not in a state of being under supervision.

A cryptoasset exchange service providertrading business operator must, in the case where it carries out a transfer of cryptoassets at the request of a customer, when it makes that transfer to a receiving customer (meaning a person that receives that transfer and that has entrusted the management of cryptoassets to another cryptoasset exchange service providertrading business operator or a foreign cryptoasset exchange service providertrading business operator (meaning a foreign cryptoasset exchange service providertrading business operator prescribed in Article 2, paragraph (17)62-2 of the Payment Services Financial Instruments and Exchange Act, excluding one located in a country or region specified by Cabinet Order) (hereinafter in this Article referred to as "other cryptoasset exchange service providertrading business operator, etc.") as a customer of that other cryptoasset exchange service providertrading business operator, etc.; the same applies hereinafter in this Article and Article 22, paragraph (2), item (iii)), or when it entrusts that transfer to a receiving customer to another cryptoasset exchange service providertrading business operator, etc., carry out the transfer by notifying the identification data on the customer who made the request and on the receiving customer and other matters specified by order of the competent ministry to the other cryptoasset exchange service providertrading business operator, etc. that manages the cryptoassets pertaining to that transfer for that receiving customer (excluding the person that has been entrusted as stated above) or to the person that has been entrusted as stated above.

A cryptoasset exchange service providertrading business operator must, in the case where it has been entrusted or further entrusted with a transfer of cryptoassets upon receiving a notification from another cryptoasset exchange service providertrading business operator, etc. under the provisions of this Article or provisions of the laws and regulations of a foreign country equivalent thereto, when it makes that transfer to a receiving customer, or when it further entrusts that transfer to a receiving customer to another cryptoasset exchange service providertrading business operator, etc., carry out the transfer by notifying the matters pertaining to that notification (limited to those specified by order of the competent ministry) to the other cryptoasset exchange service providertrading business operator, etc. that manages the cryptoassets pertaining to that transfer for that receiving customer (excluding the person that has been further entrusted as stated above) or to the person that has been further entrusted as stated above.

a cryptoasset exchange service providertrading business operator: a contract for performing the acts listed in Article 2, paragraph (8), item (xviii), item (xix), item (xxiii) (limited to the part pertaining to items of Article 2, (xviii) and (xix) of that paragraph (15) or item (xxiv) of the Payment Services Financial Instruments and Exchange Act (referred to as a "cryptoasset exchangetrading contract" in Article 31, paragraph (1)).

a person who solicits persons, or induces persons by advertisement or a similar method, to transfer, deliver or provide deposit passbooks, etc. prescribed in Article 26, paragraph (1), information for use of high-value electronically transferable prepaid payment instruments prescribed in Article 27, paragraph (1), exchange transaction cards, etc. prescribed in Article 28, paragraph (1), information for electronic payment instruments transactions prescribed in Article 29, paragraph (1), information for use of electronic payment services prescribed in Article 30, paragraph (1), or information for cryptoasset exchangetrading information prescribed in Article 31, paragraph (1) (excluding a person found to have a justifiable reason, such as that it is carried out as an ordinary commercial transaction or financial transaction);

the matters provided for in Article 10-4 concerning a cryptoasset exchange service providertrading business operator, and the matters provided for in Article 10-5 (excluding those relating to the case where a cryptoasset exchange service providertrading business operator has received from a customer a request for a transfer of cryptoassets to a receiving customer (limited to a person who is a customer of another cryptoasset exchange service providertrading business operator) and the transfer of cryptoassets for that purpose (including a transfer carried out by a cryptoasset exchange service providertrading business operator that has been entrusted or further entrusted with it) is carried out only within Japan).

A person who, for the purpose of impersonating another person and receiving the provision of services relating to a cryptoasset exchangetrading contract with a cryptoasset exchange service providertrading business operator, or of causing a third party to do so, receives the provision of a code or other information necessary for receiving those services that is assigned so that a person receiving services relating to a cryptoasset exchangetrading contract at the cryptoasset exchange service providertrading business operator can be distinguished from other persons (hereinafter in this Article referred to as "information for cryptoasset exchangetrading") is punished by imprisonment for three years or less or a fine of five million yen or less, or both. A person who, without a legitimate reason such as that it is conducted as an ordinary commercial transaction, receives the provision of information for cryptoasset exchangetrading for compensation is likewise punished.

A person who, knowing that the other party has the purpose set forth in the first sentence of the preceding paragraph, provides that party with information for cryptoasset exchangetrading is punished in the same manner as under that paragraph. A person who, without a legitimate reason such as that it is conducted as an ordinary commercial transaction, provides information for cryptoasset exchangetrading for compensation is likewise punished.