Third-largest cryptocurrency by market cap, Cardano (ADA) has scored a major victory as the momentum builds up for the scheduled Alonzo upgrade. For the first time, Cardano (ADA) gets listed in Japan after overcoming strict regulations. Japan’s most popular crypto exchange, BitPoint, will allow investors to trade ADA on its platform.
Japan operates a tight regulatory regime for cryptocurrencies. Until paving the way for Cardano (ADA) to launch, Japan only allowed three crypto assets to be available to investors. They include popular cryptocurrencies- Bitcoin (BTC), Ethereum (ETH) and Litecoin (LTC). As such, it is considered a big win for Cardano to expand its frontiers into the Asian country.
Japan Focuses On Investors’ Protection
Japan’s regulatory framework for crypto assets is reckoned as part of its broader rules geared toward ensuring the safety of investors against volatility, crypto scams and mis-selling. In fact, Tokyo’s apex regulatory body, the Financial Services Authority (FSA) has set up a specific crypto section and also a team of financial experts that will play advisory roles to the government on digital assets and decentralized finance.
The FSA is also tasked with tracking innovations in cryptocurrencies and Central Bank Digital Currencies (CBDCs) projects, and taking regulatory actions.
Despite this, Japanese lawmakers have been mounting pressure on the FSA to tighten regulations around crypto-related activities, noting that the existing ones are not stringent enough. Generally, crypto regulations have been the focus of regulators around the globe including the US.
Cardano Community Prepares for Alonzo Launch
Meanwhile, the times are exciting for Cardano, with members of the Cardano community highly anticipating the launch of its Alonzo mainnet. Cardano’s Alonzo has been touted to bring smart contract capabilities to the blockchain. This will enable developers to deploy decentralized applications compatible with DeFi and non-fungible tokens (NFTs). The code for Alonzo was written with a native programming language known as ‘Plutus.’
As predicted, the turn of events on September 12 launch will likely have a bullish effect on the price of ADA. Following the launch date announcement by founder of Cardano, Charles Hoskinson, $ADA has had an impressive run, setting and breaking records. It had first attained a $2.55 high before moving over to $2.80 the following week. After touching a high of $2.98, ADA retraced, ranged at the $2.70 zone for a while and moved further downwards in the wake of a general market downturn.
Already, market analysts have projected a 40% correction on the price of $ADA, as it is already in an overbought area, which is usually above 70. This will precede the next bull run that may likely see ADA attain a $3 price mark or even beyond, just as the date for Alonzo launch draws near.
A timeline of 4 months had been allotted for the Alonzo project. However, after encountering a handful of delays, especially during testnets, the project has been extended by one month. But the delay has not gone down well with some members of the community who did not fail to term Cardano a ‘scam’ project. Hoskinson was quick to draw their attention to the dangers of the first-to-market attitude, submitting that himself and the team were more concerned about releasing a secured and bug-free mainnet for Alonzo.
