Cybersecurity and AML

In response to increasing risks related to cybersecurity, money laundering, and similar matters, we offer support for the overall security frameworks and services underpinning system infrastructure, as well as online identity verification and authentication services and solutions involving online KYC tools

Market Developments

The rapid advance of digitalization in financial services has heightened cybersecurity concerns. Measures to address cybersecurity threats, decisions around the choice of security framework to adopt and the response to security incidents all need to be considered in the context of applicable law.

Anti-money-laundering regulations, such as the Act on Prevention of Transfer of Criminal Proceeds, apply not only to banks and traditional financial institutions but also to Fintech operators in the context of regulated funds transfer services and cryptoasset exchange services. Accordingly, integrating the required “know your customer” (KYC)  processes into system designs is important. In particular, with regulatory reforms now permitting online-based KYC (eKYC) mechanisms, there will be greater impetus to the introduction of more convenient KYC processes. Risk-based AML/CFT (anti-money laundering/combating the financing of terrorism) frameworks have also become mandatory in recent years, requiring regulated entities to enhance IT systems to identify, evaluate and mitigate risk, conduct ongoing customer management and detect and give notice of suspicious transactions.

Our Services

The firm provides advice on legal compliance for the introduction of eKYC and other KYC mechanisms as well as the establishment of frameworks in compliance with AML guidelines. The firm gives practical advice tailored to the client`s business, striking a balance among considerations including type of service, nature of usable data, the status of everchanging threats and service convenience. We also have outstanding experience in supporting multifaceted responses to incidents, including in the context of cyber attacks and cases involving improper use of financial services.

Cybersecurity and AML:People

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Cybersecurity and AML:News

Public Service
The "Guidelines for NFT Businesses," in which Masafumi Masuda was involved in the formulation as Legal Counsel of the NFT Subcommittee, is released by Japan Cryptoasset Business Association (JCBA)

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Cybersecurity and AML:Seminars

Mar. 10, 2015External Seminars
"The 2nd Japanese Regulatory Summit Panel 3: AML /CTF, KYC & Global Compliance"

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Cybersecurity and AML:Publications

Magazine Article
"Supervision and Regulation, Administrative Dispositions, Authorized Financial Service Intermediary Businesses Associations, Designated Dispute Resolution Organizations (Financial ADR), and Provisions Regarding Impacts on Other Laws and Regulations"
Magazine Article
"Q&A on Systems and Practices of Financial Service Intermediary Businesses (Part 5): Other Restriction on Activities, Etc. - Prohibition of Deposit of Money, Etc. and Regulations Regarding Use of Trade Names, Posting of Signs, and Statutory Books"
Magazine Article
"Q&A on Systems and Practices of Financial Service Intermediary Businesses (Part 4): Restriction on Activities and System Development - (2) Obligations Owed to Customers to Provide Information and Develop Systems"
Magazine Article
"Q&A on Systems and Practices of Financial Service Intermediary Businesses (Part 3): Restriction on Activities and System Development - (1) Obligation to Execute Businesses in a Fair and Sincere Manner and Obligation to Provide Information"
Article
"The International Comparative Legal Guide to: Cybersecurity 2021 - Japan Chapter"

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