A Binance employee has been suspended after an internal investigation found they’d used one of the crypto exchange’s official X accounts to promote a newly-launched crypto token. On Sunday, the Binance Futures X account, which has over 523,000 followers, posted — and then deleted — a picture of a tree with several crypto tokens hanging from it, including a token with the Binance logo. Onchain records showed that minutes before the post, the same picture was used to create a crypto token called “year of y ...

Core Viewpoint - Japan is set to implement new regulations to curb crypto insider trading, aiming to enhance market integrity and potentially influence global standards for digital asset oversight [1][2]. Regulatory Framework - The Financial Services Agency plans to extend securities-style rules under the Financial Instruments and Exchange Act to digital assets, allowing the Securities and Exchange Surveillance Commission (SESC) to investigate suspicious crypto trades and recommend penalties [2]. - The new framework is expected to be finalized this year and submitted to parliament by 2026 [1]. Global Impact - The regulatory shift in Japan could accelerate the alignment of global market integrity standards and encourage other jurisdictions to adopt similar measures [2]. - Cessiah Lopez from Superteam UK noted that Japan's actions may pressure the U.S. to establish a clearer federal framework regarding crypto insider trading [3]. Market Integrity - Insider trading undermines the integrity of financial systems and the crypto community's goal of democratizing wealth access, according to industry experts [4]. - John Park from Arbitrum Foundation emphasized that Japan's legislative clarity could create a gravitational pull for compliance teams, aligning operational norms for market integrity in regions like Brussels and Tokyo [5].

Core Points - Japan's top financial watchdog is set to implement new rules to ban insider trading in cryptocurrencies, granting the Securities and Exchange Surveillance Commission (SESC) the authority to investigate suspicious trades and recommend penalties or criminal charges based on undisclosed information [1][2] Regulatory Framework - Current insider trading laws in Japan do not cover crypto assets, which are regulated under the Financial Instruments and Exchange Act (FIEA) [2] - The Financial Services Agency (FSA) plans to finalize the new regulatory framework by the end of this year and submit amendments to the FIEA in the next parliamentary session [2] Oversight and Transparency - Japan has previously relied on self-regulation by crypto exchanges and the Japan Virtual and Crypto Assets Exchange Association (JVCEA), but this has proven insufficient for tracking trading activities [3] - The SESC's oversight aims to create a more transparent and fair trading environment, enhancing the attractiveness of crypto investments in Japan [3] Definition of Insider Trading - The initial step involves clearly stating that trading crypto based on non-public information is illegal, with the FSA expected to issue guidelines on specific behaviors to be covered [4] - Potentially banned activities include trading based on knowledge of upcoming exchange listings or undisclosed security flaws [4] Market Growth - Japan's crypto market is experiencing significant growth, with 7.88 million active crypto accounts in August 2025, representing a fourfold increase over the past five years [6] - The regulatory approach is shifting from treating crypto as a payment tool under the Payment Services Act to a focus on investor protection and market transparency under the FIEA [6] Global Context - Insider trading and fraud in the global crypto market are on the rise, prompting calls for stronger regulations from organizations like the International Organization of Securities Commissions (IOSCO) [7]

Core Viewpoint - Japanese regulators are planning to ban insider trading on cryptocurrencies, marking a significant regulatory development in the country known for its early engagement with digital assets [1][2]. Group 1: Regulatory Changes - The Securities and Exchange Surveillance Commission (SESC) will be authorized to investigate suspected insider trading violations and can issue surcharge recommendations or criminal referrals [1]. - The Financial Services Agency, the parent organization of the SESC, aims to discuss and pass new laws by 2026 to explicitly prohibit trading cryptocurrencies based on undisclosed information [2]. Group 2: Context and Background - Insider trading, defined as using non-public information to trade assets, has not previously applied to digital assets in Japan [2]. - The first known case of insider trading in the crypto space occurred in the U.S. in 2022, involving a former Coinbase product manager who leaked information about token listings [3]. - Japan has a historical significance in the crypto market, being home to the now-defunct Mt. Gox exchange, which faced a major hack leading to its closure in 2014 [3].