One of the reasons for this TOS change is to make it easier to address malicious users. Unfortunately it appears most of the malicious acts are coming from overseas territories. Even today, they had to take down the game for maintenance just to address exploits found by these players.
Since there have been many good foreign players who have already made progress into the game, they really do no want to cut off the connections of everyone playing outside of Japan. HOWEVER, if malicious acts from overseas players continue, they will be forced to take drastic measures. In addition, they are no longer accepting foreign card payments anymore also as a countermeasure against malicious players.
Of course there will be malicious activity in the future, and he asks that everyone continues to use the wicked user form to report them.
Since many players have requested the ability to move their characters across different ships, he plans to implement this service in the update in September.
You can come out of hiding.