Japan parliament moves to regulate cryptocurrencies like stocks

Japan’s lower house approved a bill to shift crypto under Japan’s financial instruments law, with implementation targeted for 2027 and a 20% tax rate slated for 2028.

42d ago

Fact Check

Bloomberg and Cryptobriefing both confirm Japan's lower house passed legislation on June 11, 2026 to classify cryptocurrencies under the Financial Instruments and Exchange Act (matching stock treatment) and cut the gains tax to a flat 20%, while noting smaller exchanges may face heavier compliance burdens. This matches the claim precisely, and additional search results show a consistent, well-documented legislative trajectory.

Summary

Japan’s House of Representatives approved a bill that would move cryptocurrency regulation from the Payment and Settlement Law to the Financial Instruments and Exchange Act, aligning digital assets more closely with stocks and bonds and potentially opening the door to crypto exchange-traded funds. If the measure clears the Upper House, the new framework is expected to take effect in 2027, while a 20% tax rate on capital gains from crypto is set to begin in 2028. The bill would also ban crypto insider trading, require annual disclosures from token issuers and sharply increase penalties for selling unregistered crypto assets. The shift is seen as a major step in bringing Japan’s digital-asset market into its mainstream financial system, though tighter compliance could pressure smaller exchanges even as larger institutions position for new crypto-linked products.

Terms & Concepts

Financial Instruments and Exchange Act: Japan’s main law governing financial products and securities markets.
crypto exchange-traded funds: Listed investment products designed to give investors exposure to cryptocurrencies without directly holding the underlying tokens.
insider trading: Trading based on material non-public information, which is prohibited in regulated markets.