On February 10th, significant developments emerged from Japan as the Financial Services Agency (FSA) began exploring the classification of cryptocurrency as a financial product akin to securities. This initiative aims to enhance transparency within the market by mandating companies to provide comprehensive disclosures, ultimately safeguarding investor interests. Presently, the FSA is convening closed-door sessions with industry experts to assess the adequacy of existing regulations regarding cryptocurrency.
Looking ahead, the agency is actively shaping new guidelines, with an official announcement on reform policies expected in June. Discussions within the Financial System Council are set to continue into autumn, paving the way for potential legislative changes in the regular assembly session of 2026. Bloomberg reports that the FSA’s expert group is increasingly viewing cryptocurrency as a viable investment vehicle, a shift influenced by recent U.S. SEC decisions regarding Bitcoin and Ethereum spot ETFs.
The proposed regulatory framework also targets the repeal of the ban on Bitcoin spot ETFs and seeks to significantly lower the tax burden on cryptocurrency earnings, from a staggering 55% to a competitive 20%, aligning it with traditional financial assets. These measures are designed to bolster market activity while ensuring investor protection remains a priority.