Japan's Financial Services Agency (Japan's financial regulator) is preparing to bring legislative amendments before its Financial System Council later this month, a step that could advance the country's broader rewrite of digital asset rules. A February 2026 report from the FSA's Working Group on Crypto-asset Systems recommended moving some regulation of digital assets from the Payment Services Act, which treats crypto more as a means of transferring value, to the Financial Instruments and Exchange Act (Japan's securities law), which governs securities and investment products. Such a shift would mean certain crypto assets are regulated more like stocks or bonds. The council does not draft laws itself, but its recommendations have historically shaped bills later submitted to the Diet, Japan's national legislature. Separately, amendments to the Payment Services Act covering electronic payment instruments and stablecoins (tokens designed to hold a fixed value) are scheduled for phased implementation around June 2026. No exact meeting date or detailed agenda had been disclosed as of early August 2026.