Legislation shifts crypto oversight to stock-style rules, lowering taxes and enabling ETFs for 14 million account holders.
Japan’s parliament approved a bill to regulate cryptocurrencies under the Financial Instruments and Exchange Act, treating them like stocks. The rules, set to take effect in 2027, aim to reduce taxes, enforce stricter trading standards, and allow crypto exchange-traded funds.
The legislation introduces insider trading bans, enhanced disclosure requirements, and penalties for unregistered crypto operations. The Financial Services Agency cited growing retail demand, with over 14 million open crypto accounts in Japan.
The shift reflects crypto’s evolution from a payment method to a mainstream investment asset, aligning oversight with traditional financial products.