Japan's Financial Services Agency (FSA) has proposed a regulatory shift for cryptocurrencies from the Payment Services Act (PSA) to the Financial Instruments and Exchange Act (FIEA). This move aims to enhance information disclosure, regulate Initial Exchange Offerings (IEOs), and combat unregistered platforms. Under the new framework, exchanges must disclose issuer details and conduct independent code audits before token sales. Issuers will be required to reveal their identities and token distribution mechanisms. The plan also includes introducing insider trading prohibitions, drawing on regulations from the EU's MiCA and South Korea.