Japan’s government amended the Financial Instruments and Exchange Act on Friday, formally classifying crypto assets as financial instruments alongside traditional securities.

The move shifts crypto out of the payments category, where it had previously sat under the Payment and Settlement Act, and into the same regulatory framework as Japan’s stock market.

What the amendment covers

The updated law bans insider trading and other activities involving buying or selling based on undisclosed information.

Crypto issuers will now be required to disclose information at least once a year, bringing transparency standards closer to those applied to listed companies.

Fines and sentences for unregistered crypto…