Japan Is Considering Crypto ETFs And A Unified Tax On Gains

What if the United States truly became the world’s number 1 in crypto? Behind this announced coronation, there will certainly be supporters. So who will follow? A Europe with 27 votes? A protectionist China? The Middle East boosted by oil? Perhaps an outsider. For a few weeks, a breeze from the East has been making waves again. An archipelago rocked by typhoons, but also shaken by well-calculated ambitions: Japan. A country long hesitant about cryptos, but suddenly seems determined to play a major role. And to play it seriously.

The crypto tax samurai: goodbye to the 55% levy?

“Cryptos are financial products“: this seemingly innocent phrase has, however, the effect of a regulatory earthquake in Tokyo, where the issue of a national bitcoin reserve has become topical. This is what the FSA (Financial Services Agency) proposes in a report published at the end of June 2025 . Objective: to transfer digital assets from the payment framework (Payment Services Act) to that of investments (Financial Instruments and Exchange Act).

The benefit? Simple: allow the creation of crypto ETFs and establish a uniform 20% taxation, aligned with stocks. No more 55% cap on capital gains. Time for fair treatment between traditional finance and digital investments.

Why this change now? Because competition is intensifying. The United States now allows spot Bitcoin ETFs. And over 1,200 financial institutions are already participating, according to the FSA report.

And because Japan wants to attract. “The new capitalism” advocated by Kishida bets on investment. And cryptos could become a lever of attraction for Tokyo. A bit like Switzerland or Dubai, but with sushi in the package.

The silent rise of a sleeping giant

Japan, this sometimes discreet economic giant, counts more than 12 million active crypto accounts. That is more than corporate bond or Forex asset holders in the country. This number alone illustrates a profound transformation of Japanese finance.

The country had been reluctant after the Mt.Gox scandal. But the tide is turning. In March 2025, SBI VC Trade obtained an official license to manage stablecoins backed by USDC. In April, the giant SMBC signed an agreement with Ava Labs to test stablecoins backed by the yen and the dollar.

Stablecoins are only one step. The country aims bigger: tokenization of real assets (stocks, real estate, bonds), stronger investor protection, and gradual opening to Bitcoin ETFs. Japan is changing, slowly but surely.

The report notes that the share of young investors in cryptos surpasses that in traditional stocks. New generations want liquidity, freedom, and transparent technologies.

Crypto capital migration: Tokyo facing the call of American sirens

If Tokyo wants to keep its talents and capital, it will have to move. And fast. Proof? Metaplanet, a publicly listed company in Tokyo, announced a transfer of 5 billion dollars to its American subsidiary to… buy bitcoin.

Why leave? Adam Livingston sums up the situation well:

The United States offers better legal clarity and better access to financial markets.

More flexible jurisdiction, deeper liquidity, and abundant tools like convertible bonds.

It is a hard blow for Tokyo. Because this capital was Japanese. It could have fueled local markets. It will serve another purpose: strengthening the American war chest on bitcoin.

But this departure is also a warning. If reforms do not progress, Japan risks seeing other Metaplanet companies move away.

Some key figures:

• More than 12 million active crypto accounts in Japan;
• 5,000 billion yen of crypto assets on platforms;
• Current crypto tax rate: up to 55%;
• Target rate: 20%, same as stocks;
• Estimated growth of the Japanese crypto market: +3.44% in 2025 (source Statista).

Japan, like many other economic powers, must cope with a mountain of debt . When fiscal leeway melts away, growth stalls, and young people turn to bitcoin, crypto becomes more than an asset: an alternative. A possible answer to a budgetary deadlock. And perhaps an unexpected lever to reshape the country’s economic future.