bitFlyer Co-Founder on Crypto Markets

The video discusses the impact of recent events in the crypto world, likening it to the Lehman shock. It explores the importance of regulation, particularly in Japan, where a double-layer regulatory system is in place. The discussion covers the effects of the FTX incident on market confidence and the potential for increased regulation globally. Japan's strict regulatory model is highlighted as a potential standard for others. The video also touches on the importance of transparency, with proof of reserves and third-party audits being crucial. Finally, it addresses tax reforms in Japan and their implications for the crypto industry.

What is the significance of Japan's double-layer regulation in the crypto world?

• It allows for more lenient trading practices.

• It reduces the need for audits.

• It ensures customer asset protection.

• It increases the speed of transactions.

How did the FTX incident affect the confidence of retail traders?

• It led them to move assets offline.

• It encouraged more investments in FTX.

• It had no impact on their confidence.

• It increased their trust in exchanges.

What is the potential impact of Japan's strict regulations on foreign customers?

• It may attract them to Japanese exchanges.

• It has no impact on foreign customers.

• It may deter them from using Japanese exchanges.

• It encourages them to use unregulated exchanges.

What is the main challenge in managing crypto assets offline?

• Difficulty in managing private keys.

• High transaction fees.

• Lack of regulatory oversight.

• Increased risk of hacking.

What is a key feature of Japan's regulatory model for crypto?

• Combining customer and firm assets.

• Mandatory third-party audits.

• Unlimited use of client assets.

• No need for financial disclosures.

What is the current maximum tax rate for crypto in Japan?

• 75%

• 55%

• 35%

• 20%

What is the expected outcome of Japan's tax reform discussions?

• A decrease in the maximum tax rate to 20%.

• No change in the current tax system.

• A new tax category for initial exchange offerings.

• An increase in the maximum tax rate to 75%.