Overview
- The central bank has mandated that transfers exceeding $10,000 may be held for up to 24 hours, with the rule set to take effect in 2027.
- The $10,000 threshold applies to single transactions and to a customer’s combined transfers in a single day to prevent splitting transactions to avoid the hold.
- The measure specifically targets transfers sent to overseas virtual asset service providers and to self-custody wallets because those routes are often used to move scam proceeds quickly.
- Officials said the hold is a temporary review window rather than an asset freeze and that flagged transfers will reach their destination after review, though some transactions may face longer checks under existing risk rules that were not fully specified.
- Japanese regulators are pursuing similar withdrawal delays and pre-registered address rules, creating pressure on exchanges and banks to add controls and prompting observers to watch for broader international adoption and operational impacts on users.