News reaching us today states that the Japan virtual currency exchange association(JVCEA) has set limits for some of it’s clients on trading activities.
The country’s regulatory body recently implemented a policy that requires it’s clients to place limits on the volume traded, with the sole aim of preventing upcoming exchanges from losing much money while checking it’s daily expenses. However, the reports didn’t state the exact amount that should be considered as trading limit.
Two options are available are available for the clients to choose, regarding setting it’s trading limits.
The first option proposes a universal ceiling that implies establishing one fixed maximum limit for all “small asset” traders. The second option suggests a more individual approach by setting different limits for different customers depending on various factors such as their investment experience, income, the value of their assets, and age.
This regulatory body was formed in the early days of March following the January hack of Japan-Based crypto exchange, coincheck. It all started with 16 crypto exchanges coming together in one voice to set up the rules and policies in order to secure the standards of trading cryptocurrencies.