Japanese securities regulators have recommended administrative sanctions against moomoo Securities. The Japan SESC stated that moomoo Securities has issues including mislabeling certain non-qualifying US ETFs and ETNs as NISA-eligible investment products and selling them, mishandling customers, failing to properly accept some securities transfer-out applications as required, not conducting adequate reviews of suspicious transactions, and insufficient system and network security management. The regulator believes that its internal control and compliance management are flawed, which could harm investors’ interests.