Financial Instruments and Exchange Act

When a person has, in violation of Article 171-7, paragraph (1) or (3), made a purchase and sale, etc. of subject specified cryptoassets, etc., the Prime Minister must, in accordance with the procedures prescribed in the following Section, order that person to pay to the national treasury an administrative monetary penalty in an amount equivalent to the amount prescribed in each of the following items in accordance with the category of the cases set forth in those items (or, if the case falls under two or more of the following items, the sum of the amounts prescribed in those two or more items) (or, if the purchase and sale, etc. was made in the name of another person, an amount equivalent to 1.5 times that amount).

the person violates Article 171-7, paragraph (1) or (3) in making a sale, etc. of cryptoassets, etc. on their own account (limited to one made within six months prior to the date on which the material fact about specified cryptoassets, etc. prescribed in paragraph (1) of that Article is publicized (excluding, for the date of the publicization, one made after the publicization); hereinafter the same applies in this item): the amount obtained by deducting the amount set forth in (b) below from the amount set forth in (a) below:

for that sale, etc. of cryptoassets, etc., the amount obtained by multiplying the price at which that sale, etc. of cryptoassets, etc. was made by its quantity;

for that sale, etc. of cryptoassets, etc., the amount obtained by multiplying the lowest price in the two weeks after the disclosure of the material fact about specified cryptoassets, etc. by the quantity of that sale, etc. of cryptoassets, etc.;

the person violates Article 171-7, paragraph (1) or (3) in making a purchase, etc. of cryptoassets, etc. on their own account (limited to one made within six months prior to the date on which the material fact about specified cryptoassets, etc. prescribed in paragraph (1) of that Article is publicized (excluding, for the date of the publicization, one made after the publicization); hereinafter the same applies in this item): the amount obtained by deducting the amount set forth in (b) below from the amount set forth in (a) below:

for that purchase, etc. of cryptoassets, etc., the amount obtained by multiplying the highest price in the two weeks after the disclosure of the material fact about specified cryptoassets, etc. by the quantity of that purchase, etc. of cryptoassets, etc.;

for that purchase, etc. of cryptoassets, etc., the amount obtained by multiplying the price at which that purchase, etc. of cryptoassets, etc. was made by its quantity;

a person that has made a purchase and sale, etc. of subject specified cryptoassets, etc. makes that purchase and sale, etc. on the account of a person other than themselves (excluding the case where an officer, etc. set forth in paragraph (12) makes the purchase and sale, etc. set forth in that paragraph): the amount prescribed in (a) or (b) below in accordance with the category of the person that has made that purchase and sale, etc. as set forth in (a) or (b):

a person that has made the purchase and sale, etc. as an investment of property subject to investment: the amount obtained by multiplying by three the amount specified by Cabinet Office Order as an amount equivalent to the consideration for investment of the property subject to investment specified by Cabinet Office Order in the month that includes the day on which the purchase and sale, etc. was made (if the purchase and sale, etc. was made over two or more months, the last of those months); or

a person other than the person set forth in (a): the amount specified by Cabinet Office Order as the amount of the fee, remuneration or other consideration for the purchase and sale, etc.

When a person has, in violation of Article 171-8, paragraph (1) or (3), made a purchase and sale, etc. of subject cryptoassets, etc., the Prime Minister must, in accordance with the procedures prescribed in the following Section, order that person to pay to the national treasury an administrative monetary penalty in an amount equivalent to the amount prescribed in each of the following items in accordance with the category of the cases set forth in those items (or, if the case falls under two or more of the following items, the sum of the amounts prescribed in those two or more items) (or, if the purchase and sale, etc. was made in the name of another person, an amount equivalent to 1.5 times that amount).

the person violates Article 171-8, paragraph (1) or (3) in making a sale, etc. of cryptoassets, etc. on their own account (limited to one made within six months prior to the date on which the material fact concerning the handling, etc. of cryptoassets prescribed in paragraph (1) of that Article is publicized (excluding, for the date of the publicization, one made after the publicization); hereinafter the same applies in this item): the amount obtained by deducting the amount set forth in (b) below from the amount set forth in (a) below:

for that sale, etc. of cryptoassets, etc., the amount obtained by multiplying the price at which that sale, etc. of cryptoassets, etc. was made by its quantity;

for that sale, etc. of cryptoassets, etc., the amount obtained by multiplying the lowest price in the two weeks after the disclosure of the material fact concerning the handling, etc. of cryptoassets by the quantity of that sale, etc. of cryptoassets, etc.;

the person violates Article 171-8, paragraph (1) or (3) in making a purchase, etc. of cryptoassets, etc. on their own account (limited to one made within six months prior to the date on which the material fact concerning the handling, etc. of cryptoassets prescribed in paragraph (1) of that Article is publicized (excluding, for the date of the publicization, one made after the publicization); hereinafter the same applies in this item): the amount obtained by deducting the amount set forth in (b) below from the amount set forth in (a) below:

for that purchase, etc. of cryptoassets, etc., the amount obtained by multiplying the highest price in the two weeks after the disclosure of the material fact concerning the handling, etc. of cryptoassets by the quantity of that purchase, etc. of cryptoassets, etc.;

for that purchase, etc. of cryptoassets, etc., the amount obtained by multiplying the price at which that purchase, etc. of cryptoassets, etc. was made by its quantity;

a person that has made a purchase and sale, etc. of subject cryptoassets, etc. makes that purchase and sale, etc. on the account of a person other than themselves (excluding the case where an officer, etc. set forth in paragraph (13) makes the purchase and sale, etc. set forth in that paragraph): the amount prescribed in (a) or (b) below in accordance with the category of the person that has made that purchase and sale, etc. as set forth in (a) or (b):

a person that has made the purchase and sale, etc. as an investment of property subject to investment: the amount obtained by multiplying by three the amount specified by Cabinet Office Order as an amount equivalent to the consideration for investment of the property subject to investment specified by Cabinet Office Order in the month that includes the day on which the purchase and sale, etc. was made (if the purchase and sale, etc. was made over two or more months, the last of those months); or

a person other than the person set forth in (a): the amount specified by Cabinet Office Order as the amount of the fee, remuneration or other consideration for the purchase and sale, etc.

When a person has, in violation of Article 171-9, paragraph (1) or (3), made a sale, etc. of cryptoassets, etc. or a purchase, etc. of cryptoassets, etc. prescribed in paragraph (1) of that Article, the Prime Minister must, in accordance with the procedures prescribed in the following Section, order that person to pay to the national treasury an administrative monetary penalty in an amount equivalent to the amount prescribed in each of the following items in accordance with the category of the cases set forth in those items (or, if the case falls under two or more of the following items, the sum of the amounts prescribed in those two or more items) (or, if the sale, etc. of cryptoassets, etc. or the purchase, etc. of cryptoassets, etc. was made in the name of another person, an amount equivalent to 1.5 times that amount).

the person violates Article 171-9, paragraph (1) or (3) in making a sale, etc. of cryptoassets, etc. on their own account (limited to one made within six months prior to the date on which the fact concerning the implementation of a large-volume sale or large-volume purchase, or the fact concerning the suspension of a large-volume sale or large-volume purchase, prescribed in paragraph (1) of that Article is disclosed (excluding, for the date of the disclosure, one made after the disclosure); hereinafter the same applies in this item): the amount obtained by deducting the amount set forth in (b) below from the amount set forth in (a) below:

for that sale, etc. of cryptoassets, etc., the amount obtained by multiplying the price at which that sale, etc. of cryptoassets, etc. was made by its quantity;

for that sale, etc. of cryptoassets, etc., the amount obtained by multiplying the lowest price during the two weeks after the disclosure of the fact concerning the implementation of a large-volume sale or large-volume purchase, or of the fact concerning the suspension of a large-volume sale or large-volume purchase, by the quantity of that sale, etc. of cryptoassets, etc.;

the person violates Article 171-9, paragraph (1) or (3) in making a purchase, etc. of cryptoassets, etc. on their own account (limited to one made within six months prior to the date on which the fact concerning the implementation of a large-volume sale or large-volume purchase, or the fact concerning the suspension of a large-volume sale or large-volume purchase, prescribed in paragraph (1) of that Article is disclosed (excluding, for the date of the disclosure, one made after the disclosure); hereinafter the same applies in this item): the amount obtained by deducting the amount set forth in (b) below from the amount set forth in (a) below:

for that purchase, etc. of cryptoassets, etc., the amount obtained by multiplying the highest price during the two weeks after the disclosure of the fact concerning the implementation of a large-volume sale or large-volume purchase, or of the fact concerning the suspension of a large-volume sale or large-volume purchase, by the quantity of that purchase, etc. of cryptoassets, etc.;

for that purchase, etc. of cryptoassets, etc., the amount obtained by multiplying the price at which that purchase, etc. of cryptoassets, etc. was made by its quantity;

in the case where a person that has made the sale, etc. related to cryptoassets, etc. or the purchase, etc. related to cryptoassets, etc. prescribed in Article 171-9, paragraph (1) has made that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc. on the account of a person other than oneself: the amount specified in (a) or (b), according to the category set forth in (a) or (b) to which the person that made that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc. belongs;

a person that has conducted the sale, etc. related to cryptoassets, etc. or the purchase, etc. related to cryptoassets, etc. as an investment of property subject to investment: the amount obtained by multiplying by three, the amount specified by Cabinet Office Order as an amount equivalent to the consideration for investment of the property subject to investment which is specified by Cabinet Office Order in the month that includes the day on which that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc. was made (if that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc. has been conducted over two or more months, the last month of those months); or

a person other than the person set forth in (a): the amount specified by Cabinet Office Order as the amount of fees, remuneration or other consideration for that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc.

The term "sale, etc. of cryptoassets, etc." as used in the preceding three paragraphs means the sale of cryptoassets, the sale of securities set forth in Article 2, paragraph (1), item (xix) that represent options relating to cryptoassets, a transaction set forth in Article 2, paragraph (21), item (ii) (limited to a transaction in which the relevant person is the party to pay money if the actual figure exceeds the agreed figure), a transaction set forth in item (iii) of that paragraph (limited to a transaction in which the relevant person is the party to grant the option), or any other transaction specified by Cabinet Order.

The term "purchase, etc. of cryptoassets, etc." as used in paragraphs (1) through (3) means the purchase of cryptoassets, the purchase of securities set forth in Article 2, paragraph (1), item (xix) that represent options relating to cryptoassets, a transaction set forth in Article 2, paragraph (21), item (ii) (limited to a transaction in which the relevant person is the party to receive money if the actual figure exceeds the agreed figure), a transaction set forth in item (iii) of that paragraph (limited to a transaction in which the relevant person is the party to acquire the option), or any other transaction specified by Cabinet Order.

The term "lowest price in the two weeks after the disclosure of the material fact about specified cryptoassets, etc." as used in paragraph (1), item (i), (b) means the lowest price from among the lowest prices prescribed in Article 43-9, Article 67-19 or Article 130 on each day in the period from the day on which the material fact about specified cryptoassets, etc. prescribed in Article 171-7, paragraph (1) is disclosed until the day on which two weeks have elapsed counting from the day following that day (if there is no such price, the amount specified by Cabinet Office Order as being equivalent to it, and for the day on which that material fact is disclosed, the amount specified by Cabinet Office Order).

The term "highest price in the two weeks after the disclosure of the material fact about specified cryptoassets, etc." as used in paragraph (1), item (ii), (a) means the highest price from among the highest prices prescribed in Article 43-9, Article 67-19 or Article 130 on each day in the period from the day on which the material fact about specified cryptoassets, etc. prescribed in Article 171-7, paragraph (1) is disclosed until the day on which two weeks have elapsed counting from the day following that day (if there is no such price, the amount specified by Cabinet Office Order as being equivalent to it, and for the day on which that material fact is disclosed, the amount specified by Cabinet Office Order).

The term "lowest price in the two weeks after the disclosure of the material fact concerning the handling, etc. of cryptoassets" as used in paragraph (2), item (i), (b) means the lowest price from among the lowest prices prescribed in Article 43-9, Article 67-19 or Article 130 on each day in the period from the day on which the material fact concerning the handling, etc. of cryptoassets prescribed in Article 171-8, paragraph (1) is disclosed until the day on which two weeks have elapsed counting from the day following that day (if there is no such price, the amount specified by Cabinet Office Order as being equivalent to it, and for the day on which that material fact is disclosed, the amount specified by Cabinet Office Order).

The term "highest price in the two weeks after the disclosure of the material fact concerning the handling, etc. of cryptoassets" as used in paragraph (2), item (ii), (a) means the highest price from among the highest prices prescribed in Article 43-9, Article 67-19 or Article 130 on each day in the period from the day on which the material fact concerning the handling, etc. of cryptoassets prescribed in Article 171-8, paragraph (1) is disclosed until the day on which two weeks have elapsed counting from the day following that day (if there is no such price, the amount specified by Cabinet Office Order as being equivalent to it, and for the day on which that material fact is disclosed, the amount specified by Cabinet Office Order).

The term "lowest price in the two weeks after the disclosure of the fact concerning the implementation of a large-volume sale or large-volume purchase or the fact concerning the suspension of a large-volume sale or large-volume purchase" as used in paragraph (3), item (i), (b) means the lowest price from among the lowest prices prescribed in Article 43-9, Article 67-19 or Article 130 on each day in the period from the day on which the fact concerning the implementation of a large-volume sale or large-volume purchase or the fact concerning the suspension of a large-volume sale or large-volume purchase prescribed in Article 171-9, paragraph (1) is disclosed until the day on which two weeks have elapsed counting from the day following that day (if there is no such price, the amount specified by Cabinet Office Order as being equivalent to it, and for the day on which that fact is disclosed, the amount specified by Cabinet Office Order).

The term "highest price in the two weeks after the disclosure of the fact concerning the implementation of a large-volume sale or large-volume purchase or the fact concerning the suspension of a large-volume sale or large-volume purchase" as used in paragraph (3), item (ii), (a) means the highest price from among the highest prices prescribed in Article 43-9, Article 67-19 or Article 130 on each day in the period from the day on which the fact concerning the implementation of a large-volume sale or large-volume purchase or the fact concerning the suspension of a large-volume sale or large-volume purchase prescribed in Article 171-9, paragraph (1) is disclosed until the day on which two weeks have elapsed counting from the day following that day (if there is no such price, the amount specified by Cabinet Office Order as being equivalent to it, and for the day on which that fact is disclosed, the amount specified by Cabinet Office Order).

The provisions of paragraph (1) (excluding item (iii)) apply mutatis mutandis to the case where there is an officer, etc. of a specified cryptoasset issuer (including the parent company prescribed in Article 171-7, paragraph (1), item (i); the same applies in paragraph (19) of the following Article) prescribed in Article 166, paragraph (1), item (i) who has conducted purchase and sale, etc. of subject specified cryptoassets, etc. on the account of that specified cryptoasset issuer in violation of Article 171-7, paragraph (1) or (3). In this case, the phrase "that person" in paragraph (1) is deemed to be replaced with "the relevant specified cryptoasset issuer", and the phrase "on one's own account" in items (i) and (ii) of that paragraph is deemed to be replaced with "on the account of a specified cryptoasset issuer".

The provisions of paragraph (2) (excluding item (iii)) apply mutatis mutandis to the case where there is an officer, etc. of a financial instruments business operator (including the parent company prescribed in Article 171-8, paragraph (1), item (i); the same applies in paragraph (20) of the following Article) prescribed in Article 166, paragraph (1), item (i) who has conducted purchase and sale, etc. of subject cryptoassets, etc. on the account of that financial instruments business operator in violation of Article 171-8, paragraph (1) or (3). In this case, the phrase "that person" in paragraph (2) is deemed to be replaced with "the relevant financial instruments business operator", and the phrase "on one's own account" in items (i) and (ii) of that paragraph is deemed to be replaced with "on the account of a financial instruments business operator".

In the case referred to in paragraph (1), a person that has conducted purchase and sale, etc. of subject specified cryptoassets, etc. on the account of a person set forth in the following items is deemed to have conducted the relevant purchase and sale, etc. (in the case where a person set forth in those items has conducted purchase and sale, etc. of subject specified cryptoassets, etc. on their own account in violation of Article 171-7, paragraph (1) or (3), excluding that which is identical to the relevant purchase and sale, etc.) on their own account, and paragraph (1) applies.

a company in which the person that conducted the relevant purchase and sale, etc. holds a majority of the voting rights of all shareholders, etc., or any other person specified by Cabinet Office Order as having a close relationship with that person;

a person who shares a livelihood with the person that conducted the relevant purchase and sale, etc., or any other person specified by Cabinet Office Order as having a special relationship with the person that conducted the relevant purchase and sale, etc.

In the case referred to in paragraph (2), a person that has conducted purchase and sale, etc. of subject cryptoassets, etc. on the account of a person set forth in the following items is deemed to have conducted the relevant purchase and sale, etc. (in the case where a person set forth in those items has conducted purchase and sale, etc. of subject cryptoassets, etc. on their own account in violation of Article 171-8, paragraph (1) or (3), excluding that which is identical to the relevant purchase and sale, etc.) on their own account, and paragraph (2) applies.

a company in which the person that conducted the relevant purchase and sale, etc. holds a majority of the voting rights of all shareholders, etc., or any other person specified by Cabinet Office Order as having a close relationship with that person;

a person who shares a livelihood with the person that conducted the relevant purchase and sale, etc., or any other person specified by Cabinet Office Order as having a special relationship with the person that conducted the relevant purchase and sale, etc.

In the case referred to in paragraph (3), a person that has made the sale, etc. related to cryptoassets, etc. or the purchase, etc. related to cryptoassets, etc. prescribed in Article 171-9, paragraph (1) on the account of a person set forth in the following items is deemed to have made that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc. (in the case where a person set forth in those items has made the sale, etc. related to cryptoassets, etc. or the purchase, etc. related to cryptoassets, etc. prescribed in paragraph (1) of that Article on their own account in violation of paragraph (1) or (3) of that Article, excluding that which is identical to that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc.) on their own account, and paragraph (3) applies.

a company in which the person that made that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc. holds a majority of the voting rights of all shareholders, etc., or any other person specified by Cabinet Office Order as having a close relationship with that person;

a person who shares a livelihood with the person that made that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc., or any other person specified by Cabinet Office Order as having a special relationship with the person that made that sale, etc. related to cryptoassets, etc. or purchase, etc. related to cryptoassets, etc.

Beyond what is prescribed in paragraphs (4) through (11) and the preceding three paragraphs, the price and quantity in the case where the sale, etc. of cryptoassets, etc. or the purchase, etc. of cryptoassets, etc. prescribed in paragraphs (1) through (3) (including the case where the provisions of paragraph (1) apply mutatis mutandis pursuant to paragraph (12) and the case where the provisions of paragraph (2) apply mutatis mutandis pursuant to paragraph (13); hereinafter the same applies in this paragraph) is a transaction set forth in Article 2, paragraph (21), item (ii), and any other particulars necessary for the calculation of the administrative monetary penalty under paragraphs (1) through (3), are specified by Cabinet Order.