The Japanese LDP insists to reduce crypto tax to 20%, seek public input

Japan’s reigning liberal Democratic Party (LDP) has proposed a significant reduction in the tax rate for crypto -winsts in an attempt to revise his crypto tax regime.

In one provisional version LDP legislator Akihisa Shiozaki released on Thursday and introduced a plan to reduce the tax rate at Crypto -winsts from 55% to 20%.

The proposal aims to classify Crypto as a separate activa class under the Financial Instruments and Exchange Act, which means they are moved from their current classification under the Payment Services Act.

The shift means that crypto would not be treated as effects and as a separate category of financial products, which may offer clearer tax rules and more tailor -made regulations for the crypto industry.

Sota Watanabe, CEO of Web3 Infrastructure Company Startale, describe the news as a “big day” for Japan, Sota Watanabe, Sota Watanabe, tweeted That he was “100% sure” that the adoption of crypto in Japanese would increase as a result.

Watanabe said that the Japanese government spoke with market leaders in Japan and how this is a “big result of collaborations”.

The LDP now collects public feedback on the proposal until 31 March before it is submitted to the Financial Services Agency (FSA) for further assessment.

Japan and Crypto

In the midst of these reforms, the Japanese government uses a measured approach to more daring crypto initiatives.

In December 2024, Prime Minister Shigeru Ishiba Skepticism pronounced About the approval of a Bitcoin Strategic ReserveWith reference to insufficient information about the US plans and other countries.

His comments came in response to a proposal from Satoshi HamadaA member of the Japanese House of Council members, who suggested that Japan should consider using part of his foreign reserves in Bitcoin.

Thursday, US President Donald Trump signed an executive order authorizing the establishment of a Bitcoin stock set by the government, which will be financed by assets that are seized during the procedures for criminal or civil assets.

On the other hand, the Japanese FSA is wholesale The collection of the long -term ban on crypto ETFs, with discussions that are expected to continue until 2025 before a legislative proposal is submitted in 2026.