The financial authorities of Japan will send orders to five major cryptocurrency exchanges of the country urging them to improve revealed weaknesses.

The Financial Services Agency (FSA) of Japan will take administrative measures against the country's five largest cryptocurrency exchanges, including bitFlyer, Quoine, Bitbank, BitPoint Japan, and BtcBox, the Japan Times reports.

FSA revealed weaknesses in their internal control systems, including systems for combating money laundering and tracking suspicious transactions.

The regulator will send orders to the above mentioned cryptocurrency exchanges гntil the end of the current week.

All five exchanges, in which the Japanese financial authorities found flaws, received earlier licenses from the FSA.

Japanese authorities began toughening of the cryptocurrency regulation after the hacker attack on the crypto exchange Coincheck, which resulted in multimillion losses. Cybercriminals managed to steal $520 million in NEM tokens in January.

The volume of operations with cryptocurrencies in Japan increased 20-fold in 2017 and reached 69 trillion yen ($627 billion). With such an explosive demand for cryptocurrencies, the Japanese authorities got a scare that cryptocurrency trading platforms may become the main tool in the hands of criminals laundering illegally obtained money.