Japan's Bitcoin Law Goes Into Effect Tomorrow

[OmegaStarScream]

The country's legislature passed a law, following months of debate, that brought bitcoin exchanges under anti-money laundering/know-your-customer rules, while also categorizing bitcoin as a kind of prepaid payment instrument. It's a debate that began in the wake of the collapse of Mt Gox, the now-defunct bitcoin exchange that shuttered after months of growing complications and, in the end, revelations of insolvency and alleged fraud.

You could read more about it: http://www.coindesk.com/japan-bitcoin-law-effect-tomorrow/

The fact that their exchange will force users to KYC verification is kinda bad news, but in the same time, this should somehow make people trust bitcoin more since the Mt.gox disaster happened.

[unamis76]

As we all know, KYC itself violates one of the base principals with which Bitcoin was created. We'll see how this pans out. I guess we might have slightly less (real) movement on Chinese exchanges...

In a lighter note, after legislation, Japan doesn't seem to be hostile to Bitcoin... Which is a big plus.

[ASHLIUSZ]

several countries have been making plans to implement their own digital currency, but only because of the regulatory need few countries have been progressing. One amongst is Japan, which is moving forward with structured procedures so that it won't go as a scam as well won't affect the people who have invested hard savinga.

[Questat]

As we all know, KYC itself violates one of the base principals with which Bitcoin was created. We'll see how this pans out. I guess we might have slightly less (real) movement on Chinese exchanges...

In a lighter note, after legislation, Japan doesn't seem to be hostile to Bitcoin... Which is a big plus.

After you buy the bitcoin from the exchanges, you can mix it, so that nobody knows it is from you.

[SyGambler]

The country's legislature passed a law, following months of debate, that brought bitcoin exchanges under anti-money laundering/know-your-customer rules, while also categorizing bitcoin as a kind of prepaid payment instrument. It's a debate that began in the wake of the collapse of Mt Gox, the now-defunct bitcoin exchange that shuttered after months of growing complications and, in the end, revelations of insolvency and alleged fraud.

You could read more about it: http://www.coindesk.com/japan-bitcoin-law-effect-tomorrow/

The fact that their exchange will force users to KYC verification is kinda bad news, but in the same time, this should somehow make people trust bitcoin more since the Mt.gox disaster happened.

KYC shouldn't be a problem , actually it may be better for exchanges in order to prevent them scamming since KYC usually means that the site is regulated
if you want to buy bitcoin anonymously then you can find a better way like P2P or using the currency exchange section here in the forums
so don't worry about KYC

[Brystol-MyersSquibb]

Hmmm interesting. I bet japan has big investors nothing like china or anything but I wonder if this may have negative effects on prices?

[unamis76]

several countries have been making plans to implement their own digital currency, but only because of the regulatory need few countries have been progressing. One amongst is Japan, which is moving forward with structured procedures so that it won't go as a scam as well won't affect the people who have invested hard savinga.

Don't know about own digital currencies, but this is about Bitcoin. Legislation is much different than it would be from a own digital currency.

After you buy the bitcoin from the exchanges, you can mix it, so that nobody knows it is from you.

Yes, but this isn't ideal. Anyways, one can buy from LocalBitcoins too.

[Pab]

Good news,about  KYC   fiat money market is regulated it means btc=money in Japan,there is a lot of interesting in btc from japanise financial companys,so it is all good in long term

[ImHash]

Countries around the world are slowly getting the hint of a $20B marketcap currency and it's growth over time, they might regulate exchanges, prosecute mining farms or shutting them down that only will result in more need of trusted and reliable mixers.
Now that they're regulating exchanging services it will open some doors for mass adoption and same time the masses would hesitate to lose because of sharp fluctuations but again the sharks (wolves) of the market shall flood the market with new blood (money-capital) to take their profits as day traders.
And another outcome would be the people seeking anonymity and see value in privacy to lean towards the underground/darkweb/unregulated exchanges/p2p trades/in cash trades and basically any possible way to stay unknown.

[Karpeles]

If not a 1st April joke, what would change for the consumers?

The exchanges will have more work and be safer, but what would the consumers be able to do that they aren't right now?

[target]

As we all know, KYC itself violates one of the base principals with which Bitcoin was created. We'll see how this pans out. I guess we might have slightly less (real) movement on Chinese exchanges...

In a lighter note, after legislation, Japan doesn't seem to be hostile to Bitcoin... Which is a big plus.

I think the government will not care about the principles or privacy, they will search whatever it is to take control when there is something that violates their system.  Money laundering is a serious offense and the money involve is so huge the volume on bitflyer.jp almost explode in a day, if not monitored the yakuzas will soon be doing all their work with bitcoin.

News I think is good for bitcoin, the more its being mentioned on the news the more people get to be interested to it. Bitcoin will soon rise still.

[bamboylee]

Even with KYC, this is still a good development for bitcoin. We know it is really hard for a government to accept bitcoin without giving them something like KYC. They like to think they have control over things.

[Yakamoto]

I think something like that is a good thing to a certain extent, but requiring know-your-customer laws typically isn't a benefit for something like this. Chances are it won't mean much for most users beyond them having to take more of their ID and give it to the exchanges they use. I have a feeling most whales in Japan won't really care about something like this.

Will it hurt the little guy? Doubtful, but we'll have to wait and see.

[virtualkeybuyer]

It will implement the KYC rule but as the governments have started to work for bitcoin more people will know about bitcoin and if the governments continued positively for bitcoin then nothing can break its power and it will sooner become a world currency. I like the step for it from Japan. I do not think that it will have negative affect on bitcoin.

[unamis76]

I think the government will not care about the principles or privacy, they will search whatever it is to take control when there is something that violates their system.  Money laundering is a serious offense and the money involve is so huge the volume on bitflyer.jp almost explode in a day, if not monitored the yakuzas will soon be doing all their work with bitcoin.

News I think is good for bitcoin, the more its being mentioned on the news the more people get to be interested to it. Bitcoin will soon rise still.

I agree, crimes are something that shouldn't be taken lightly, however innocent people have to pay for other people's errors... But there's no easy way to sort "legit" and "non legit" people unfortunately.

Bitcoin will probably have some new investors if it is more regulated, maybe "wall street" kind of people will come... Which can be good. We'll see

[franky1]

The fact that their exchange will force users to KYC verification is kinda bad news, but in the same time, this should somehow make people trust bitcoin more since the Mt.gox disaster happened.

if an exchange is going to touch fiat. then expect fiat regulations to apply.
you cant escape having fiat as part of your business by thinking the bitcoin half of the business absolves the fiat side.

if an exchange doesnt want fiat regulation then remove the fiat funing and just be an altcoin<>bitcoin exchange.

[lottery248]

for me, nothing will really effect if you are not using your bitcoin to launder because of criminals. just like what China has just did to regulate bitcoin.

however, the law of regulating bitcoin might result in less merchants to use bitcoin due to possibility of tax. unless this law will increase the popularity of bitcoin and bring a better liberty of transaction.

[neochiny]

KYC is fine. As long as the exchange asking for KYC is truly a legally registered company. It would mean better security for the customers as they'd know where to go in case something happens. I hope more countries would step up.

This is why I prefer local exchanges that are operating legally within the country. If the country supports Bitcoin and Exchanges, I'd have to do KYC, yes, but that also means the exchange pays taxes and they abide by laws, which means I have protection.
My BTC won't just up and disappear! Plus, there'd be excellent customer service.
My country classified it as remittance (sort of.and no taxes ), the exchange pays taxes, I do KYC and I get protection and good service.

[iamTom123]

I have no problem with Know-Your-Customer (KYC) rules even if it somehow contradict one of the principles laid down by Bitcoin. We could not live in a vacuum world and for Bitcoin to go mainstream we have to adjust. If KYC can be the thing that can relax the governments and can make them stay away a little far from Bitcoin, so be it! This is better than battling the governments in many fronts. Here in my country, the top Bitcoin wallet service is requiring us to submit documents and even a selfie before we can fully use their services. As I have nothing to hide anyway, that poses no threat nor problem to me.

[Dimelord]

As we all know, KYC itself violates one of the base principals with which Bitcoin was created. We'll see how this pans out. I guess we might have slightly less (real) movement on Chinese exchanges...

In a lighter note, after legislation, Japan doesn't seem to be hostile to Bitcoin... Which is a big plus.

After you buy the bitcoin from the exchanges, you can mix it, so that nobody knows it is from you.

Thats a good idea.Just mix your coin using any services like Bitmixer,Coinmixer so that the government couldnot be able to trace your transactions.