Japan Crypto Bill Advances, Clears Way for ETFs and Tax Cuts

Japan’s Lower House has approved a bill that would place cryptocurrency assets under the country’s financial instruments regulatory framework, according to Bloomberg.

The measure would bring digital assets closer in line with traditional investments like stocks and bonds by introducing tighter trading rules, while also potentially opening the door for cryptocurrency exchange-traded funds (ETFs).

If the bill passes the Upper House, it is expected to take effect next year, marking a further step in Japan’s regulatory overhaul of the sector.

Separately, the proposal includes a significant tax revision for crypto holdings, lowering capital gains tax from as high as 55% to a flat 20%—the same rate applied to equities and bonds. This tax adjustment is scheduled for implementation in 2028.

Source: Bloomberg