Japan’s new crypto tax could drop from a punishing 55% all the way down to a flat 20%, putting digital assets on the same footing as stocks and bonds.
If this proposal is green-lighted this year, the Land of the Rising Sun might finally wake up its “sleeping giant” crypto market.
For years, Japan’s new crypto tax regime scared retail traders away. Profits from Bitcoin and altcoins were slammed as “miscellaneous income,” facing progressive rates up to 45% plus a 10% local tax. This is a brutal 55% bite at the top bracket.
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No wonder everyday investors stayed on the sidelines while corporations like MetaPlanet scooped up Bitcoin through tax-friendly corporate shells.
Japanese FSA wants to fix it with Japan’s new crypto tax
Now the Financial Services Agency wants to fix that. The push for Japan’s new crypto tax at just 20% flat has industry leaders buzzing.
Startale CEO Sota Watanabe called it “a big day for Japan,” predicting crypto ETFs and a flood of new on-chain users.
The timing couldn’t be better. Real wages are shrinking against inflation, and Japanese savers are hungry for higher returns. Stable regulations since 2017, plus recent moves letting banks issue stablecoins and treating some tokens as financial products, already laid the groundwork.
Add Japan’s new crypto tax at 20% and the dam finally breaks!
Bitbank’s CEO says the overhaul “could hugely expand the market.” Coincheck notes there are still three times more stock-trading accounts than crypto accounts and that gap is about to close fast. SBI, Sony, Nomura, and even Sega are diving in, while Hello Kitty NFTs remind everyone Japan plays the game differently.
Japan’s new crypto tax isn’t just a rate cut. It’s the spark that could bring millions of retail investors on-chain and turn Japan into one of the hottest crypto markets in the world.
