Both local Japanese forex brokers and foreign forex brokers with an office in Japan are regulated by the Japan Financial Services Agency (JFSA). This is a strict but highly respected regulator that is known to do its utmost to ensure Japanese traders only trade with locally regulated forex brokers. This is also the main reason for why many international forex brokers don’t accept Japanese traders as clients.
Unfortunately for some, regulated forex brokers in Japan offer even less trading leverage than what is available in Europe, with a maximum leverage of 1:25 for all non-professional traders. However, plans that were considered by regulators to lower this even further has been dropped for now after strong resistance from both forex traders and the industry.