Honestly I agree with the fact for more regulation, even some people will like the idea of exchanges filling the standards provided by their country and might even think to invest into crypto if they feel safe.
I totally agree, I often say this, Governments need to be implacable with the exchange, and it is unacceptable that many exchange do not have a phone number and a physical office and do not have a license that allows them to operate. we are talking about exchange that moves millions of dollars, but they want to remain anonymous and when our money stuck in the exchange how the hell are we going to the police and the courts to complain if we do not know who are the owners of the exchange and where are their office?
OP, we need regulation and the Japanese government is doing good work, it would be good if other governments did the same thing. I believe that the exchange would have a good reputation and many people could feel safe to make deposits of a lot of money.