[Japan's Financial Services Agency Plans to Strictly Punish Unregistered Crypto Sales, Maximum Prison Term Proposed to Increase to 10 Years] March 16 news, according to Nikkei News, Japan's Financial Services Agency (FSA) plans to strengthen penalties and regulations on unregistered cryptocurrency operators. The plan proposes moving crypto asset-related regulations from the *Payment Services Act* to the *Financial Instruments and Exchange Act* to enhance investor protection. For operators conducting unregistered sales of crypto assets, criminal penalties are proposed to increase from the current 'up to 3 years imprisonment or a fine of up to 3 million yen' to 'up to 10 years imprisonment or a fine of up to 10 million yen (or both).' In addition, the Securities and Exchange Surveillance Commission will be granted authority to conduct compulsory on-site inspections and evidence seizures as part of criminal investigations. The legal designation for registered operators is proposed to change from 'crypto asset exchange operators' to 'crypto asset trading operators.' This move comes against the backdrop of increasing disputes related to highly speculative meme tokens.