Japan’s Finance Minister Katsunobu Kato confirmed that cryptocurrencies have a place in diversified investment portfolios. This statement was made during his speech at the Web3 Conference WebX 2025 in Tokyo.
Recognition of Cryptocurrency
Kato emphasized that despite the high volatility of crypto assets, proper regulation can facilitate their inclusion in investment portfolios. He stressed the need for an appropriate investment environment.
Taxation Changes
The Japanese Ministry of Finance is also working on revising the taxation of cryptocurrencies. The Financial Services Agency (FSA) proposed to revisit the tax on cryptocurrencies to establish a flat tax rate. Currently, crypto gains are taxed between 15% to 56% depending on the income bracket.
Cryptocurrencies in the Japanese Economy
Recent reports indicate a growing popularity of cryptocurrencies in the Japanese economy. For example, the Bitcoin treasury company Metaplanet has been upgraded to a higher category on the stock market, and Japanese financial giants are keen to adopt blockchain technologies.
The finance minister’s statements and legislative changes confirm the growing recognition of cryptocurrencies in Japan, which may lead to broader use in investment portfolios and the country’s economy.
