Japan’s FSA expects to allow certain stablecoins by June 2023

Japan's new regulations allowing investors to trade using stablecoins such as Tether (USDT) are expected to be adopted by June 2023 at the latest, according to a local financial authority.

Japan's Financial Services Agency (FSA) is working to lift the ban on domestic distribution of stablecoins, with plans to allow certain stablecoins later this year. "This does not mean that all foreign products called 'stablecoins' will be allowed without any restrictions," Japan's FSA spokesperson told Cointelegraph.

The FSA will only allow stablecoins that successfully pass individual checks that ensure that such cryptocurrencies are safe in terms of user protection, the FSA spokesperson said.