Each provision the amendment changes, before and after in one: words it removes are struck through, words it adds are highlighted. The Japanese is the law; the icon beside each English column says whose English it is. The 2 articles it renumbers are marked with the number each had before.
Article 31-4 · (Notification on Assumption of the Position of Director)第三十一条の四（取締役等の就任等に係る届出）
If the director or executive officer of a financial instruments business operator (limited to a person engaged in type-I financial instruments business or, investment management business or cryptoasset trading business; hereinafter the same applies in this paragraph) assumes the position of director, accounting advisor (or, if the accounting advisor is a corporation, the position of a staff member that performs those duties; hereinafter the same applies in this and the following paragraphs), company auditor, or executive officer of another company (including if a director, accounting advisor, company auditor, or executive officer of another company is to concurrently hold the position of director or executive officer of the financial instruments business operator), or if that person resigns from the position of director, accounting advisor, company auditor, or executive officer of another company, that person must notify the Prime Minister of this without delay, pursuant to the provisions of Cabinet Office Order.
The provisions of the proviso to Article 331, paragraph (2) of the Companies Act (including as applied mutatis mutandis pursuant to Article 335, paragraph (1) of the Companiesthat Act); Article 332, paragraph (2) of that Act (including as applied mutatis mutandis pursuant to Article 334, paragraph (1) of that Act); Article 336, paragraph (2) of that Act; and the proviso to Article 402, paragraph (5) of that Act do not apply to financial instruments business operators (limited to those engaged in type-I financial instruments business or, investment management business or cryptoasset trading business).
A person that has become the major shareholder (meaning a major shareholder as prescribed in Article 29-4, paragraph (2); hereinafter the same applies in this Section) of a financial instruments business operator (limited to one engaged in type-I financial instruments business or, investment management business or cryptoasset trading business and excluding foreign corporations; hereinafter the same applies in this Subsection) must submit a statement of holdings in subject voting rights which states the subject voting right holding rate (meaning the rate arrived at when the number of subject voting rights held by the holder of those subject voting rights is divided by the number of voting rights held by all the shareholders, etc. in the relevant Financialfinancial instruments business operator), the purpose for which they are held, and other particulars specified by Cabinet Office Order to the Prime Minister, without delay, pursuant to the provisions of Cabinet Office Order.
A document pledging that the relevant person does not fall under the purview of Article 29-4, paragraph (1), item (v), (dc), 1. or 2., or (ed), 1. through 3., and other documents specified by Cabinet Office Order must accompany the statement of holdings in subject voting rights referred to in the preceding paragraph.
If the major shareholder of a financial instruments business operator falls under any of the categories in Article 29-4, paragraph (1), item (v), (dc), 1. or 2. or (ed), 1. through 3., the Prime Minister may order the relevant major shareholder to take measures so that it will cease to be the major shareholder of the relevant financial instruments business operator or to take any other necessary measures within a fixed period of no longer than three months.
It is prohibited for a bank or cooperative financial institution, or for any other financial institution specified by Cabinet Order (hereinafter collectively referred to as a "financial institution" in this Article and the following Article) to engage in securities services or, investment management business, or cryptoasset trading business; provided, however, that with regard to securities services or cryptoasset trading business, this does not apply if the financial institution conducts the purchase and sale of securities or cryptoassets, or securities-related derivatives transactions for the purpose of investment pursuant to the provisions of other Acts or on the account of a person that entrusts it to do so based on a trust contract.
acts set forth in Article 2, paragraph (11), itemsitem (i), (a) through (iiic) (excluding those set forth in (a) and (b)) that the financial institution is entrusted with by a financial instruments business operator (limited to those engaged in type-I financial instruments business) and performs for that financial instruments business operator;
acts set forth in Article 2, paragraph (11), itemsitem (i), (a) through (iiic) (excluding those set forth in (a)) that the financial institution is entrusted with by a financial instruments business operator (limited to those engaged in type-I financial instruments business) and performs for that financial instruments business operator;
The provisions of Article 29 do not apply if a financial institution performs on a regular basis acts, among the following acts (hereinafter referred to as "derivatives transactions, etc."), other than those set forth in Article 28, paragraph (810), items (iii) through (vi) (hereinafter referred to as "securities-related derivatives transactions, etc."), performs acts other than those set forth in Article 28, paragraph (810), item (vii) among those specified in Article 2, paragraph (8), item (v) on a regular basis, performs acts set forth in Article 2, paragraph (8), item (vii) on a regular basis, provides investment advisory and agency business, or provides securities, etc. management or performs on a regular basis acts specified by Cabinet Order as cases equivalent thereto:
derivatives transactions, etc. other than securities-related derivatives transactions, etc. (excluding those conducted for the purpose of investment pursuant to the provisions of other Acts or on the account of a person that entrusts the financial institution to do so based on a trust contract and commodity-related market derivatives transactions), or acts other than those set forth in Article 28, paragraph (810), item (vii) among those specified in Article 2, paragraph (8), item (v); or
With regard to the application of the provisions of Article 33, paragraphs (1) and (2), Article 33-2, Article 33-3, paragraph (1), Article 33-4, paragraph (1), item (i), Article 33-5, paragraph (1), item (iii), (a), Article 33-6, paragraph (1), Article 52-2, paragraph (1), item (iv), and Article 194-6, paragraph (2), if a bank or cooperative financial institution, or any other financial institution specified by Cabinet Order, is a financial institution that has obtained the authorization referred to in Article 1, paragraph (1) of the Act on Engagement in Trust Business by Financial Institutions, in Article 33, paragraph (1), the phrase "securities services or, investment management business, or cryptoasset trading business" is deemed to be replaced with "securities services or cryptoasset trading business"; in the proviso to that paragraph, the phrase "provided, however, that with regard to securities services or cryptoasset trading business," is deemed to be replaced with "provided, however, that"; in paragraph (2) of that Article, the phrase "transactions conducted based on its solicitation of a customer for such an order and transactions conducted upon the receipt of an order from the customer in connection with the financial institution's investment advisory business" is deemed to be replaced with "transactions conducted based on its solicitation of a customer for such an order"; in Article 33-2, the phrase "investment advisory and agency business or securities, etc. management" is deemed to be replaced with "investment advisory and agency business, investment management business (excluding the business of performing the acts set forth in Article 2, paragraph (8), item (xiv) or (xv) (limited to acts performed by holding the money or other property referred to in these provisions as trust property); the same applies hereinafter in this Chapter), or securities, etc. management"; in Article 33-3, paragraph (1), the phrase "the following particulars" is deemed to be replaced with "the following particulars and, in the case where investment management-related services are entrusted, an indication of this, the trade name, name, or personal name of the entrustee, the details of the investment management-related services to be entrusted to that entrustee, and other particulars specified by Cabinet Office Order"; in Article 33-4, paragraph (1), item (i), the phrase "set forth in the items of paragraph (1) of the preceding Article" is deemed to be replaced with "prescribed in paragraph (1) of the preceding Article"; in Article 33-5, paragraph (1), item (iii), (a), the phrase "a person found not to have secured, for each registered financial institution business, officers or employees who have sufficient knowledge and experience necessary for its execution" is deemed to be replaced with "a person found not to have secured, for each registered financial institution business, officers or employees who have sufficient knowledge and experience necessary for its execution; provided, however, that with regard to investment management-related services, in the case where the applicant for registration entrusts those investment management-related services to an investment management-related services contractor (limited to a person that has obtained the registration referred to in Article 66-71 or the registration of a change referred to in Article 66-75, paragraph (4) for performing those investment management-related services), it is to be sufficient if the applicant has secured officers or employees with the ability to appropriately supervise that business"; in Article 33-6, paragraph (1), the phrase "set forth in the items of Article 33-3, paragraph (1)" is deemed to be replaced with "prescribed in Article 33-3, paragraph (1)"; in Article 52-2, paragraph (1), item (iv), the phrase "investment advisory and agency business" is deemed to be replaced with "investment advisory and agency business or investment management business"; and in Article 194-6, paragraph (2), the phrase "set forth" is deemed to be replaced with "prescribed".
If the preceding paragraph applies to an applicant with regard to the conclusion of a subject contract (limited to one that entails the financial instruments business operator, etc. acting as an agent as provided in Article 2, paragraph (8), items (ii) through (iv), (x), (xiii) and (xiiixix); hereinafter referred to as a "specified subject contract" in this paragraph and paragraph (8)), before the financial instruments business operator, etc. concludes a financial instruments transaction contract on behalf of the applicant based on the specified subject contract, the financial instruments business operator, etc. must notify the other financial instruments business operator, etc. with which the financial instruments transaction contract is to be concluded (hereinafter referred to as the "counterparty financial instruments business operator, etc." in the following paragraph and paragraph (8)) that the applicant is deemed to be a customer other than a professional investor in connection with the financial instruments transaction contract.
Article 34-3 · (When a Customer Other than a Professional Investor Is a Corporation and That Corporation Is Deemed to Be a Professional Investor)第三十四条の三（特定投資家以外の顧客である法人が特定投資家とみなされる場合）
If the preceding paragraph applies to an applicant in connection with the conclusion of a subject contract (limited to one that entails the financial instruments business operator, etc. acting as an agent as provided in Article 2, paragraph (8), items (ii) through (iv), (x), (xiii) and (xiiixix); hereinafter referred to as a "specified subject contract" in this paragraph and the following paragraphsparagraph), and the financial instruments business operator, etc., acting as the applicant's agent based on that specified subject contract, concludes a financial instruments transaction contract on or before the approvalend date, it must notify the counterpartyother financial instruments business operator, etc. with which the financial instruments transaction contract is to be concluded (referred to as the "counterparty financial instruments business operator, etc." in the following paragraph) in advance, that the applicant is deemed to be a professional investor with regard to the financial instruments transaction contract.
Article 35 · (Scope of Services for Persons Engaged in Type-I Financial Instruments Business or Investment Management Business)第三十五条（第一種金融商品取引業又は投資運用業を行う者の業務の範囲）
A financial instruments business operator (limited to one engaged in type-I financial instruments business or investment management business; hereinafter the same applies in this Article), in addition to the financial instruments business, may perform the following acts on a regular basis and provide any other services incidental to the financial instruments business (excluding cryptoasset trading business; hereinafter the same applies in this paragraph):
services for investing investment property (excluding services of performing the acts set forth in item (xv) of the preceding paragraph and services that fall under the services set forth in items (i), (ii), and the preceding item) as an investment in assets other than securities or cryptoassets, or rights arising from derivatives transactions; and
A financial instruments business operator (limited to one engaged in cryptoasset trading business; hereinafter the same applies in this Article), in addition to the financial instruments business, may perform the following acts on a regular basis and provide any other services incidental to the financial instruments business (limited to cryptoasset trading business; hereinafter the same applies in this paragraph). In this case, that financial instruments business operator (limited to one engaged in type-I financial instruments business or investment management business) is not required to obtain the approval of the Prime Minister for performing those services, notwithstanding the provisions of Article 35, paragraph (4).
the lending of cryptoassets, or intermediation or agency for the same;
暗号資産の貸付け又はその媒介若しくは代理
AddedArticle 35-2-2, paragraph (1), item (ii)
the lending of money incidental to the purchase and sale of, or other transactions in, cryptoassets conducted by a financial instruments business operator extending credit to a customer (hereinafter referred to as a "cryptoasset margin transaction");
the lending of money secured by cryptoassets managed for customers (limited to lending specified by Cabinet Office Order);
顧客のために管理する暗号資産を担保とする金銭の貸付け（内閣府令で定めるものに限る。）
AddedArticle 35-2-2, paragraph (1), item (iv)
the provision of agency for customers in connection with cryptoassets;
暗号資産に関する顧客の代理
AddedArticle 35-2-2, paragraph (1), item (v)
the conclusion of a contract for cumulative investment in cryptoassets (meaning a contract in which a financial instruments business operator (limited to one that engages in cryptoasset, etc. management) receives money deposited by a customer and sells cryptoassets to that customer continuously on dates designated in advance while receiving consideration from that money) (limited to contracts specified by Cabinet Office Order);
the provision of information or advice in relation to cryptoassets (excluding acts falling under Article 2, paragraph (8), item (xi));
暗号資産に関連する情報の提供又は助言（第二条第八項第十一号に掲げる行為に該当するものを除く。）
AddedArticle 35-2-2, paragraph (1), item (vii)
agency for the services of another financial instruments business operator (limited to those, among the financial instruments business and services incidental to the financial instruments business (excluding the services set forth in this item), that relate to services that the financial instruments business operator acting as agent may perform);
provision of customer information acquired from the customer to a third party with the consent of the customer or any other provision of information held by the financial instruments business operator to a third party, which contributes to advancement of the financial instruments business that the financial instruments business operator conducts or to improvement of convenience for users of the financial instruments business operator (excluding an act that falls under the category of the act set forth in item (vi)); and
an act to be performed by mainly utilizing human resources, information and communications technology, equipment, and any other management resources possessed by the financial instruments business operator related to the financial instruments business conducted by the financial instruments business operator, which is specified by Cabinet Office Order as an act that contributes to regional revitalization, improvement of industrial productivity, and establishment of a sustainable society.
A financial instruments business operator (excluding one engaged in type-I financial instruments business (excluding type-I small amount electronic public offering service prescribed in Article 29-4-2, paragraph (9) and specially permitted intermediary services for unlisted securities, etc. prescribed in Article 29-4-4, paragraph (8)) or investment management business; the same applies from the following paragraph through paragraph (5)) may perform the following services in addition to the financial instruments business and the services performed pursuant to the provisions of the preceding paragraph:
electronic payment instruments services intermediary business prescribed in Article 2, paragraph (14) of the Payment Services Act.
資金決済に関する法律第二条第十四項に規定する電子決済手段サービス仲介業
AddedArticle 35-2-2, paragraph (3)
A financial instruments business operator may engage concurrently in other businesses, in addition to the financial instruments business and the services performed pursuant to the provisions of the preceding two paragraphs.
When a financial instruments business operator intends to engage concurrently in another business prescribed in the preceding paragraph, it must notify the Prime Minister to that effect in advance, pursuant to the provisions of Cabinet Office Order.
When a financial instruments business operator has discontinued a business for which it gave notification pursuant to the provisions of the preceding paragraph, it must notify the Prime Minister to that effect without delay.
The provisions of paragraphs (1) through (3) must not be construed as excluding the application of laws relating to the services set forth in the items of paragraph (1) or the items of paragraph (2), or to another business prescribed in paragraph (3), in the case where a financial instruments business operator performs those services or engages concurrently in that other business.
A financial instruments business operator, etc. must take, pursuant to the provisions of Cabinet Office Order, measures necessary for preventing the leak, loss, or damage of information relating to the financial instruments business or registered financial institution business that it conducts, and for otherwise ensuring the secure management of that information.
A financial instruments business operator, etc. must post a sign in the format specified by Cabinet Office Order in a place that is easily seen by the public at each of its business offices or other offices; provided, however, that this does not apply in the cases specified by Cabinet Office Order as cases where there is no hindrance to the protection of investors.
When a financial instruments business operator, etc. has had an order from a customer for the purchase or sale of securities or cryptoassets or for an over-the-counter derivatives transaction, it must give the customer clear notice, in advance, regarding whether the relevant financial instruments business operator, etc. will conclude the purchase and sale or the transaction with the customer personally, as the other party, or whether it will conduct intermediation, brokerage, or agency for the purchase and sale or the transaction.
(Delivery of DocumentsNotification in Connection with the Receipt of a Security Deposit)
保証金の受領に係る書面の交付通知
ChangedArticle 37-5, paragraph (1)
When a financial instruments business operator, etc. receives a security deposit that is payable by the customer (limited to those specified by Cabinet Office Order) in connection with the financial instruments business that it conducts, it must immediately deliver a document stating thisnotify the customer to the customerthat effect, pursuant to the provisions of Cabinet Office Order.
if the financial instruments business operator, etc. (excluding a registered financial institution; the same applies in the following item to item (ivv)) engages in type-I financial instruments business: the measures specified in the relevant one of the following (a) and (b) for the category of cases set forth in (a) or (b):
if there is a designated type-I dispute resolution organization (meaning a designated dispute resolution organization (meaning a designated dispute resolution organization as defined in Article 156-38, paragraph (1); hereinafter the same applies in this Chapter and Chapter V-4) for which the category of dispute resolution services (meaning the category of dispute resolution services as defined in paragraph (1213) of that Article; hereinafter the same applies in this Chapter and Chapter V-4) is specified type-I financial instruments business (meaning specified type-I financial instruments business as defined in paragraph (2) of that Article; hereinafter the same applies in this item); hereinafter the same applies in this item and paragraph (3), item (ii)):measures to conclude a basic contract for the implementation of dispute resolution procedures (meaning a basic contract for the implementation of dispute resolution procedures as defined in paragraph (1314) of that Article; hereinafter the same applies in this Chapter and Chapter V-4) in connection with specified type-I financial instruments business with a single designated type-I dispute resolution organization;
if the financial instruments business operator, etc. is a registered financial institutionengages in cryptoasset trading business: the measures specified in the relevant of the following (a) and (b) for the category of cases set forth in (a) or (b):
if there is a designated cryptoasset trading dispute resolution organization for registered financial institutions (meaning a designated dispute resolution organization for which the category of dispute resolution services is the specified services of a registered financial institutioncryptoasset trading business (meaning specified services of a registered financial institutioncryptoasset trading business as defined in Article 156-38, paragraph (6); hereinafter the same applies in this item); hereinafter the same applies in this item and paragraph (3), item (ii)):measures to conclude a basic contract for the implementation of dispute resolution procedures in connection with the specified services of a registered financial institutioncryptoasset trading business with a single designated cryptoasset trading dispute resolution organization for registered financial institutions;
if there is no designated registered financial institutionscryptoasset trading dispute resolution organization:complaint processing measures and dispute resolution measures in connection with the specified services of a registered financial institutioncryptoasset trading business.
if the financial instruments business operator, etc. is a registered financial institution: the measures specified in the relevant of the following (a) and (b) for the category of cases set forth in (a) or (b):
if there is a designated dispute resolution organization for registered financial institutions (meaning a designated dispute resolution organization for which the category of dispute resolution services is the specified services of a registered financial institution (meaning specified services of a registered financial institution as defined in Article 156-38, paragraph (7); hereinafter the same applies in this item); hereinafter the same applies in this item and paragraph (3), item (ii)):measures to conclude a basic contract for the implementation of dispute resolution procedures in connection with the specified services of a registered financial institution with a single designated dispute resolution organization for registered financial institutions;
if there is no designated dispute resolution organization for registered financial institutions:complaint processing measures and dispute resolution measures in connection with the specified services of a registered financial institution.
if a case that fell under a category of cases set forth in paragraph (1), item (i), (a); item (ii), (a); item (iii), (a); item (iv), (a); item (v), (a); or item (vvi), (a); has come to fall under a category of cases set forth in item (i), (b); item (ii), (b); item (iii), (b); item (iv), (b); item (v), (b); or item (vvi), (b) of that paragraph:the period specified by the Prime Minister as the period needed for taking the measures specified in paragraph (1), item (i), (b); item (ii), (b); item (iii), (b); item (iv), (b); item (v), (b); or item (vvi), (b); at the time of granting authorization for the discontinuation of dispute resolution services under Article 156-60, paragraph (1) or at the time of rescinding the designation under Article 156-61, paragraph (1);
if a case formerly fell under a category of cases set forth in paragraph (1), item (i), (a); item (ii), (a); item (iii), (a); item (iv), (a); item (v), (a); or item (vvi), (a); but the discontinuation of the dispute resolution services of a single designated type-I dispute resolution organization under item (i), (a) of that paragraph; a single designated type-II dispute resolution organization under item (ii), (a) of that paragraph; a single designated investment advisory and agency business dispute resolution organization under item (iii), (a) of that paragraph; a single designated investment management dispute resolution organization under item (iv), (a) of that paragraph; a single designated cryptoasset trading dispute resolution organization under item (v), (a) of that paragraph; or a single designated dispute resolution organization for registered financial institutions (under item (vi), (a) of that paragraph (hereinafter collectively referred to as the "designated dispute resolution organization for each category of business" in this item) has been authorized under Article 156-60, paragraph (1) or the designation under Article 156-39, paragraph (1) has been rescinded for the designated dispute resolution organization for each category of business pursuant to Article 156-61, paragraph (1) (excluding in a case set forth in the preceding item):the period specified by the Prime Minister as the period needed for taking the measures specified in paragraph (1), item (i), (a); item (ii), (a); item (iii), (a); item (iv), (a); item (v), (a); or item (vvi), (a); at the time of granting such authorization or at the time of rescinding the designation; and
if a case formerly fell under a category of cases set forth in paragraph (1), item (i), (b); item (ii), (b); item (iii), (b); item (iv), (b); item (v), (b); or item (vvi), (b); but come to fall under the cases set forth in item (i), (a); item (ii), (a); item (iii), (a); item (iv), (a); item (v), (a); or item (vvi), (a) of that paragraph:the period specified by the Prime Minister as the period needed for taking the measures specified in paragraph (1), item (i), (a); item (ii), (a); item (iii), (a); item (iv), (a); item (v), (a); or item (vvi), (a) at the time of the designation under Article 156-39, paragraph (1).
making an offer or promise, or having a third party make an offer or promise, in connection with a purchase and sale or other transaction of securities or cryptoassets (excluding a purchase and sale with a repurchase requirement and a predetermined repurchase price, and other transactions specified by Cabinet Order) or a derivatives transaction (hereinafter collectively referred to as a "purchase and sale or other transaction of securities, etc." in this Article), to a customer or to a person designated by the customer, that in the event that the customer (if a trust company, etc. (meaning a trust company or a financial institution that has obtained the authorization referred to in Article 1, paragraph (1) of the Act on Engagement in Trust Business by a Financial InstitutionInstitutions; the same applies hereinafter) conducts the purchase and sale of securities or cryptoassets or a derivatives transaction on the account of a person that establishes a trust based on a trust contract, this includes the person that establishes the trust; hereinafter the same applies in this Article) incurs a loss from the securities or cryptoassets or derivatives transaction (hereinafter collectively referred to as "securities, etc." in this Article), or in the event that a predetermined amount of profit does not accrue from those securities, etc., the financial instruments business operator, etc. or a third party will cover the whole or part of the loss or provide the customer or a third party with an economic benefit to supplement its profits;
A financial instruments business operator, etc., pursuant to the provisions of Cabinet Order, must establish a policy and method for executing orders from customers for the purchase and sale of securities and cryptoassets, and derivatives transactions (excluding those specified by Cabinet Order; hereinafter referred to as "transactions of securities, etc." in this Article) under the best terms and conditions (hereinafter referred to as the "best execution policy, etc." in this Article).
The first time that a financial instruments business operator, etc. receives an offer from a professional investor, etc. or non-resident (excluding, of these persons, a person set forth in Article 2, paragraph (31), items (i) through (iii); hereinafter the same applies in this paragraph) for a contract for transactions in securities for professional investors, etc. (meaning a contract for performing an act set forth in Article 2, paragraph (8), items (i) through (iv), or item (x) in connection with securities for professional investors, etc. (excluding a contract for making a purchase and sale of securities for professional investors, etc. through an act set forth in item (x) of that paragraph (limited to a purchase and sale conducted through the intermediation, brokerage, or agency of the financial instruments business operator that performs that act) or any other contract that is specified by Cabinet Office Order taking into account of the content of the contract and the features of the counterparty); hereinafter the same applies in this paragraph), the business operator, etc. must notify the professional investor, etc. or non-resident of the following particulars and deliver a document to , pursuant to the provisions of Cabinet Office Order, provide the professional investor, etc. or non-resident that stateswith information on those particulars, before concluding the contract for transactions in securities for professional investors, etc. related to the offer:
making a purchase and sale or other transaction of securities or cryptoassets, or a derivatives transaction (hereinafter referred to as "purchase and sale or other transaction of securities"), on its own account, using information from a transaction conducted by a customer that has received its advice;
providing an economic benefit to a customer or a third party or having a third party provide an economic benefit to a customer, in order to cover the whole or part of a loss incurred by the customer due to a transaction about which the customer has received its advice, or in order to add to the profit that a customer has accrued in connection with a transaction about which the customer has received its advice (unless this is to cover the whole or part of a loss incurred due to problematic conduct); and
A financial instruments business operator, etc. must not perform any of the acts set forth in Article 2, paragraph (8), items (i) through (iv), item (xviii) or item (xix), in connection with the investment advisory business it conducts, with a customer as the counterparty or on behalf of a customer; provided, however, that this does not apply if it does so as Type-Itype-I financial instruments business or cryptoasset trading business, or if it does so in a case that is specified by Cabinet Order.
A financial instruments business operator, etc. must not, for any reason, receive a deposit of money or securities from a customer, or have a person specified by Cabinet Order as being closely related to the financial instruments business operator, etc. deposit a customer's money or securities, in connection with the investment management business it conducts (limited to the business of performing the acts specified in Article 2, paragraph (8), item (xii); hereinafter the same applies in this and the following Articles), unless it does so as securities, etc. management, or unless it does so in a case that is specified by Cabinet Order; provided, however, that this does not apply if the financial instruments business operator, etc. performs any of the acts set forth in Article 2, paragraph (8), items (i) through (iv), item (xviii) or item (xix), or commodity-related market derivatives transactions in connection with its investment management business on behalf of a customer, and such a deposit is necessary for the settlement of the transaction conducted through such an act.
Explanation, etc. of the Nature of Crypto-and Other Assets in Cryptoasset-Related Business
No English for the wording before the change.
暗号等資産関連業務における暗号等資産の性質に関する説明等
ChangedArticle 43-6, paragraph (1)
When a financial instruments business operator, etc. conducts cryptoasset-related business (meaning performing an , on a regular basis, the acts set forth in Article 2, paragraph (8), items (xviii) through (xxv) and any other act that constitutes a financial instruments transaction as specified by Cabinet Office Order with regard to crypto-and other assets (referred to as a "cryptoasset-related act" in the following paragraph) on a regular basis; the same applies in that the following paragraph), it must, pursuant to the provisions of Cabinet Office Order, explain the nature of the crypto-and other assets; provided, however, that this does not apply in the cases specified by Cabinet Office Order as cases where there is no hindrance to the protection of investors.
Article 43-7 · Prohibition on Handling Cryptoassets That Do Not Conform to the Standards Necessary to Ensure the Public Interest or the Protection of Investors第四十三条の七（公益又は投資者の保護を確保するために必要な基準に適合しない暗号資産の取扱いの禁止）
A financial instruments business operator must not perform the acts set forth in Article 2, paragraph (8), items (xviii) through (xxiv) with respect to cryptoassets that do not conform to the standards specified by Cabinet Office Order as standards necessary to ensure the public interest or the protection of investors.
When the Prime Minister finds it necessary and appropriate for the public interest or the protection of investors in a case where the specified cryptoasset issuer of a specified cryptoasset handled by a financial instruments business operator has violated this Act or an order under this Act, the Prime Minister may order the financial instruments business operator to suspend the services for purchase and sale, etc. of cryptoassets in connection with the specified cryptoasset, or to cease handling the specified cryptoasset. In this case, irrespective of the category of proceeding for hearing statements of opinion under Article 13, paragraph (1) of the Administrative Procedure Act, the Prime Minister must conduct a hearing.
If a notice under Article 15, paragraph (1) of the Administrative Procedure Act has been given in a hearing for a disposition under the provisions of the preceding paragraph, the specified cryptoasset issuer prescribed in the preceding paragraph is deemed to be a person who has received the notice under paragraph (1) of that Article for the purpose of the application of the provisions of Chapter III, Section 2 of that Act.
A financial instruments business operator must, pursuant to the provisions of Cabinet Office Order, disclose to the public the daily trading volume and the highest price, lowest price, closing price, and other particulars, for each issue, in respect of the purchase and sale of cryptoassets through the services for purchase and sale, etc. of cryptoassets that it conducts.
When performing cryptoasset, etc. management, a financial instruments business operator must use the method specified by Cabinet Office Order as a method for properly managing customers' cryptoassets.
Article 43-12 · Prohibition on Receiving the Provision of Cryptoasset Management-Related Services from Persons Other Than Cryptoasset Management-Related Service Providers, etc.第四十三条の十二（暗号資産管理関係業務提供者以外の者から暗号資産管理関係業務の提供を受けることの禁止等）
A financial instruments business operator must not, in connection with the cryptoasset, etc. management that it conducts, receive the provision of cryptoasset management-related services from a person other than a cryptoasset management-related service provider.
When a financial instruments business operator receives the provision of cryptoasset management-related services from a cryptoasset management-related service provider, it must take, pursuant to the provisions of Cabinet Office Order, measures necessary for ensuring the proper and reliable performance of the services relating to the management of customers' cryptoassets, such as establishing standards and procedures for the selection of cryptoasset management-related service providers and providing guidance to that cryptoasset management-related service provider.
When a financial instruments business operator continuously uses an information system necessary for the services for purchase and sale, etc. of cryptoassets that is provided by another person, it must take, pursuant to the provisions of Cabinet Office Order, measures necessary for ensuring the proper and reliable performance of the services for purchase and sale, etc. of cryptoassets, such as establishing standards and procedures for the selection of the person that provides that information system and providing guidance to that person.
In addition to the case of receiving the provision of cryptoasset management-related services from a cryptoasset management-related service provider, when a financial instruments business operator has entrusted a part of the cryptoasset trading business that it conducts to another person (including entrustment over two or more stages), it must take, pursuant to the provisions of Cabinet Office Order, measures necessary for ensuring the proper and reliable performance of the entrusted business, such as providing guidance to the entrustee of the business relating to that entrustment.
A financial instruments business operator must, with regard to the cryptoasset trading business that it conducts, manage customers' money separately from its own money and, pursuant to the provisions of Cabinet Office Order, entrust it in trust to a trust company, etc.
A financial instruments business operator must, with regard to the cryptoasset trading business that it conducts, manage customers' cryptoassets separately from its own cryptoassets, pursuant to the provisions of Cabinet Office Order. In this case, that financial instruments business operator must manage customers' cryptoassets (excluding those that satisfy the requirements specified by Cabinet Office Order as necessary for ensuring the convenience of customers and facilitating the smooth performance of cryptoasset trading business) by a method specified by Cabinet Office Order as one with little risk of impairing customer protection.
A financial instruments business operator must periodically undergo an audit by a certified public accountant or audit by an audit corporation, pursuant to the provisions of Cabinet Office Order, as regards the management conditions under the preceding two paragraphs.
A financial instruments business operator must hold, as its own cryptoassets, cryptoassets of the same type and quantity as the cryptoassets that satisfy the requirements specified by Cabinet Office Order prescribed in paragraph (2) of the preceding Article (hereinafter referred to as "performance-guarantee cryptoassets" in this paragraph and Article 43-17, paragraph (1)), and manage them separately from its own cryptoassets other than performance-guarantee cryptoassets, pursuant to the provisions of Cabinet Office Order. In this case, that financial instruments business operator must manage performance-guarantee cryptoassets by a method specified by Cabinet Office Order as one with little risk of impairing customer protection.
The provisions of paragraph (3) of the preceding Article apply mutatis mutandis to the management conditions under the provisions of the preceding paragraph.
前条第三項の規定は、前項の規定による管理の状況について準用する。
Article 43-16 · Restriction on the Act of Furnishing a Customer's Cryptoassets as Collateral, etc.第四十三条の十六（顧客の暗号資産を担保に供する行為等の制限）
When a financial instruments business operator furnishes as collateral customers' cryptoassets that it manages in connection with the cryptoasset trading business that it conducts (including where it furnishes as collateral a claim for the transfer of cryptoassets that a customer holds against that financial instruments business operator under a contract providing for the management of cryptoassets by that financial instruments business operator) or lends them to another person, it must obtain written consent from the customer, pursuant to the provisions of Cabinet Office Order.
A person that has concluded with a financial instruments business operator a contract providing for the management of cryptoassets by that financial instruments business operator has the right to receive payment in priority to other creditors, in connection with a claim for the transfer of cryptoassets held against that financial instruments business operator, out of the subject cryptoassets (meaning customers' cryptoassets that the financial instruments business operator manages separately from its own cryptoassets pursuant to the provisions of Article 43-14, paragraph (2), and performance-guarantee cryptoassets).
A person entrusted with the management of cryptoassets by a financial instruments business operator and any other concerned party of that financial instruments business operator is to endeavor to comply when the Prime Minister requests necessary cooperation in the exercise of the right set forth in paragraph (1) of the preceding Article in connection with customers' cryptoassets that the financial instruments business operator manages in connection with the cryptoasset trading business that it conducts.
act of becoming entrusted, etc. with the purchase and sale of securities (meaning becoming entrusted with the purchase and saleor cryptoassets (meaning receiving entrustment, etc.; the same applies hereinafter) on the condition that the person will lend money or otherwise grant credit to a person through a means other than a margin transaction prescribed in Article 156-24, paragraph (1) and a cryptoasset margin transaction (excluding acts specified by Cabinet Office Order as those that are found to have little likelihood of resulting in insufficient investor protection);
conducting a purchase and sale or other transaction of securities or cryptoassets or an over-the-counter derivatives transaction with the parent corporation, etc. or subsidiary corporation, etc. of the financial instruments business operator, etc., under terms and conditions that are different from ordinary terms and conditions and that are likely to be detrimental to the fairness of transactions;
(Restriction on Granting Credit by Underwriters), etc.
引受人等の信用供与の制限
AddedArticle 44-4, paragraph (2)
A financial instruments business operator that has become an underwriter of specified cryptoassets in respect of a specified cryptoasset must not, when selling that specified cryptoasset (including when exchanging it for other cryptoassets), lend money or otherwise grant credit to the other party for the purchase price (in the case of an exchange for other cryptoassets, those other cryptoassets) until six months have elapsed since the day on which it became an underwriter of specified cryptoassets.
The business year of a financial instruments business operator (limited to one that is engaged in type-I financial instruments business or cryptoasset trading business; hereinafter the same applies in this Subsection) is from the first day of a month selected by the financial instruments business operator, to the day on which one year has elapsed since that day; provided, however, that this does not apply to the first business year after changing the last day of the business year.
A financial instruments business operator (limited to one engaged in cryptoasset, etc. management) must, in addition to submitting a business report pursuant to the provisions of paragraph (1) and reporting pursuant to the provisions of paragraph (2), prepare, for each period specified by Cabinet Office Order and pursuant to the provisions of Cabinet Office Order, a report on the amount of customers' money and the quantity of cryptoassets managed in connection with cryptoasset trading business and other matters concerning their management, and submit it to the Prime Minister.
Documents certifying the amount of customers' money and the quantity of cryptoassets managed in connection with cryptoasset trading business, and other documents specified by Cabinet Office Order, must be attached to the report under the preceding paragraph.
A change to a law's text. It is made by a separate law or order — the amending act — usually written as instructions to replace, delete or add words. An Act amending part of another Act is usually titled 〇〇法の一部を改正する法律, "act amending part of…", or 〇〇法等の一部を改正する法律 when it amends three or more.
Rules made by the Cabinet to carry out the Constitution and Acts. A Cabinet Order cannot impose duties, restrict rights or set penalties unless an Act delegates that to it.
The official identifier a law receives when it is published: the year, the kind of law, and a serial number within that year. Titles can repeat over the decades; numbers never do.
The official publication of a law or amendment once it has been made, in the Official Gazette (官報), so that anyone can know what it says. A law cannot bind anyone before it is promulgated, and it usually starts to apply on a later enforcement date.
The official publication of a law or amendment once it has been made, in the Official Gazette (官報), so that anyone can know what it says. A law cannot bind anyone before it is promulgated, and it usually starts to apply on a later enforcement date.
Machine translation, corrected on review, not official
After
Machine translation, not official
English translation
Before
Written for this site with AI
After
Machine translation, not official
Corrected by this site — Before
The Ministry of Justice's English of this passage has a slip, so the English shown is this site's correction of it. The Ministry printed:
derivatives transactions, etc. other than securities-related derivatives transactions, etc. (excluding those conducted for the purpose of investment pursuant to the provisions of other Acts or on the account of a person that entrusts the financial institution to do so based on a trust contract and commodity-related market derivatives transactions)), or acts other than those set forth in Article 28, paragraph (8), item (vii) among those specified in Article 2, paragraph (8), item (v); or
Japanese Law Translation, Ministry of Justice
Translates the law as amended by Act No. 68 of 2022 (令和四年法律第六十八号)
Machine translation, corrected on review, not official
English translation
Machine translation, corrected on review, not official
English translation
Before
Written for this site with AI
After
Machine translation, not official
Corrected by this site — Before
The Ministry of Justice's English of this passage has a slip, so the English shown is this site's correction of it. The Ministry printed:
if there is a designated type-I dispute resolution organization (meaning a designated dispute resolution organization (meaning a designated dispute resolution organization as defined in Article 156-38, paragraph (1); hereinafter the same applies in this Chapter and Chapter V-4) for which the category of dispute resolution services (meaning the category of dispute resolution services as defined in paragraph (12) of that Article; hereinafter the same applies in this Chapter and Chapter V-4) is specified type-I financial instruments business (meaning specified type-I financial instruments business as defined in paragraph (2) of that Article; hereinafter the same applies in this item); hereinafter the same applies in this item and paragraph (3), item (ii)):measures to conclude a basic contract for the implementation of dispute resolution procedures (meaning a basic contract for the implementation of dispute resolution procedures as defined in paragraph (13) of that Article; hereinafter the same applies in this Chapter and Chapter V-4) in connection with specified type-I financial instruments business with a single designated type-I dispute resolution organization);
Japanese Law Translation, Ministry of Justice
Translates the law as amended by Act No. 68 of 2022 (令和四年法律第六十八号)