The crypto industry in Japan is poised for a surge in growth among retail investors, observers say, as the government plans to introduce a moderate 20% tax.
A new, more moderate tax on digital assets in Japan is projected to make crypto more appealing to retail investors.
Lawmakers in the National Diet, Japan’s legislature, reportedly support a proposal from the country’s financial watchdog, the Financial Services Agency (FSA), that would lower taxes on crypto. The rate would decrease from a maximum of 55% to 20%, aligning the taxation regime more closely with traditional assets and securities.
Relaxing the tax code reflects a growing trend of the government moderating its stance toward crypto in Japan. From a relative gray zone to strict regulations, to becoming part of a national growth plan, the government has gradually recognized crypto as part of the financial industry.
