Japan's Financial Services Agency aims to take measures to reduce the tax burden on the cryptocurrency sector, making it more competitive.
Changes to Crypto Tax Code
The Financial Services Agency (FSA) of Japan has proposed to lower taxes on cryptocurrencies to a flat rate of 20%, contrasting with the current progressive rate that can reach up to 55%. This proposal, under review at the end of the month, will create a separate category for crypto taxation more akin to that of stocks.
Easing Crypto ETF Launches in Japan
The FSA has also submitted a proposal aimed at easing the process for firms to launch domestic cryptocurrency exchange-traded funds (ETFs). This is expected to alleviate the burden on local companies, preventing them from relocating operations to jurisdictions with friendlier regulations.
Metaplanet's Plans for Bond Markets
Metaplanet, a Japan-based company, aims to enter the bond markets, actively acquiring Bitcoin. With reserves of 18,888 BTC, it is the largest corporate holder of Bitcoin in Asia. The company has also announced a program related to Bitcoin-backed credit, which may attract institutional investors.
The planned changes to cryptocurrency taxation and the growing interest in Bitcoin from companies like Metaplanet could lead to significant shifts in Japan's financial services and cryptocurrency markets.
