Authorities in Japan are working on a proposal that could pave the way for the regulation of virtual currency business in the country.

A working group under Japan’s Financial Services Agency (FSA), called the Financial System Council, started holding discussions on Thursday before it draws up a final report that will become the basis of a legal framework for regulating digital currencies—like bitcoin—and exchange operators, Econotimes reported. The legal framework is expected to be tackled during the next Diet session, which is scheduled to start on Jan. 4.

According to The Japan Times, the proposals included in the draft include mandatory registration of operators of virtual currency exchanges with the FSA. In addition, exchange operators must also meet certain conditions, like maintaining a specified amount of capital and managing customer assets separately from their corporate assets.

The group also wants mandatory checks on exchange operators by certified public accounts or auditing firms. And to counter money laundering, the group wants the operators to be obliged to confirm the identities of clients when they open accounts and report questionable trading to authorities, the news outlet reported.