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1 FSA Institute Discussion Paper Series Financial Research Center (FSA Institute) Financial Services Agency Government of Japan

2

3 IT 1) (Distributed Ledger Technology DLT ) AI FinTech IT DLT DLT Open API( ) FinTech DLT Open API 1) PwC PwC - 1 -

4 (KYC/AML) DLT

5

6 . DLT AI FinTech IT DLT DLT Open API( ) arrowhead 1) ) ) ) JPX 2) JPX 3)

7 (High Frequency Trading HFT ) 1) HFT (Proprietary Trading System PTS ) 2) PTS HFT IT... IT 1) ) (2017) - 5 -

8 AI HFT 1 HFT... IT ( SEC ) 2-6 -

9 2 SEC 1) National Exam Analytics Tool (NEAT) Corporate Issuer Risk Assessment (CIRA) PALANTIR Bluesheets Technology Risk Assessment Compliance Examination Records (TRACER) Market Information Data Analytics System(MIDAS) self-identified races (SIRS) SRO Rule Tracking System (SRTS) SEC s Tips, Complaints, and Referrals Intake and Resolution System (TCR) PALANTIR SEC (TCP) SRO (ECN) SEC SEC (TCR) TCR TCR TCR TCR MIDAS SEC (CAT) 1) SEC - 7 -

10 MIDAS 1) MIDAS 6 1 CAT SEC NMS 2) SEC 613 3) 4) 5) FINRA NMS 8 1) SEC 2) SEC SEC Seeks Public Comment on Plan to Create A Consolidated Audit Trail 3) SEC Rule 613 (Consolidated Audit Trail) 4) SEC Rule 613 (Consolidated Audit Trail) 5) SEC Rule 613 (Consolidated Audit Trail) - 8 -

11 SEC 1) SEC ( 1 ) ( ) SNS 2 1) CAT NMS PLAN( )

12 AI ( ) PTS ID ID AI AI

13 ( ) ( 3 ) 3 AI Know Your Customer KYC AI AI ( ) AI ( ) ( ) AI

14 AI.... 1) SBI NEC AI ( ) AI RegTech 2 AI ( ) 2) 1) NEC 2) NEC

15 ..... DLT Nasdaq JPX DLT DLT DLT DLT.... Nasdaq Linq DLT ( 3 ) 1) 3 Nasdaq linq 2) 1) Nasdaq(2016) Building on the Blockchain 2) Nasdaq(2016) Building on the Blockchain

16 .... JPX DLT DLT 1) 2) IT DLT 3) ( ) DLT DLT 1) JPX DLT 2) JPX DLT 3) JPX DLT

17 .... (KYC/AML) JPX SBI SBI BITS NEC DLT KYC 1) KYC 2) 3) 4) ( ) 5) 1) SBI 2) SBI 3) SBI 4) SBI 5) SBI

18 KYC KYC... DLT DLT ( 4 ) 4 DLT 1) 2) 3) ( ) ( ) ( ) 2 DLT DLT KYC KYC ( 1) ENISA(European Network and Information Security Agency ) Distributed Ledger Technology & Cybersecurity - Improving information Security in the financial sector 2) PwC s View 2017 vol11 3)

19 (The Dao ) ) ( ) ( ) AML(Anti-Money Laundering) JPX DLT DLT DLT DLT API( ) DLT ( ) API R3 DLT Corda

20 DLT KYC KYC DLT ( ) DLT IPO / KYC DLT

21 KYC/AML DLT / FAQ.... DLT ( ) IT DLT ( ) ( 4 )

22 4 ( ) ( )

23 Open API Open API 1) ( 5 ) 5 2) Open API Open API 9 1) 2)

24 Open API ) DLT RC RC 2.0 2) DLT..... KYC ( 5 ) ( ) 5 Web SNS 1) SBI Ripple Asia SBI 2) SBI

25 ( ) ( 6 1 ) ( ) ( ) ( ) ( 6 2 ) KYC/AML (KYC/AML ) ( ) Open API Open API

26 6-24 -

27 ... API DLT ( ) ( ) ID KYC ID ID ) AI 1)

28 ... Open API DLT ( 7 ) ( ) (DLT ) (DLT ) (DLT ) (Open API) KYC / AML(DLT ) KYC /AML / CFT(Counter Financing of Terrorism)

29 7 ( )

30 ..... DLT Open API PwC 8 1) 1) PwC

31 AML Digital Trust ( Digital Trust )

32 8 PwC Digital Transformation Governance

33 ... DLT Digital Trust DevOpsDevelopment Operations

34 Open API DLT... DLT 1) 1) FCA TechSprint

35 ... IOSCO MOU()... IT ( ) SEC 2013 SEC

36 MIDAS SEC Data Science Workstations DSW 1)... (2017) ( (2017) ( (2013) HFT PTS DP ( 1) SEC CIO Pam Dyson Talks Tech Innovation

37 (2014) 22 2 pp (2014) High-Frequency Trading JPX Vol. 4 ( (2016) HFT DP ( (2017) 86 pp (2017) JPX Vol. 4 ( (2017) JPX Vol. 21 ( SEC(2016) Major Information Systems ( SEC(2013) MIDAS Market Information Data Analytics System ( SEC(2017) SEC Seeks Public Comment on Plan to Create A Consolidated Audit Trail ( SEC(2017) Rule 613 (Consolidated Audit Trail) ( info.htm ) Nasdaq(2016) Building on the Blockchain ( (2016), JPX Vol.15.( (2017) JPX Vol. 20. ( ( )(2018) (DLT) JPX Vol. 22. (

38 European Network and Information Security Agency(2017) Distributed Ledger Technology & Cybersecurity - Improving information Security in the financial sector ( (2017) FinTech (FinTech ) ( (2016) ( ) ( (2017) ( (2017) API ( (2018) , ( (2018) ( SBI Ripple Asia(2018), , (2017), , ( (2008) IOSCO MOU() ( FCA(2017) Model driven machine executable regulatory reporting TechSprint ( PricewaterhouseCoopers(2017) 2020 ( PricewaterhouseCoopers(2018) AI ( SEC(2018) CIO Pam Dyson Talks Tech Innovation (

39

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7,447 1,384 1,62 6,886 1,474 1,79 23, 4,3 3,2 62% 66% 67% 14,334 2,859 2,142 1 23 234124331 7,447 1,384 1,62 6,886 1,474 1,79 23, 4,3 3,2 62% 66% 67% 14,334 2,859 2,142 1 A Message from the President 23, 4,3 3,2 19,394 3,338 21,68 1,673 23, 1,931 3,494 846 2,738 1,39 4,349 854 3,392

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