Japan plans to impose a 20% uniform tax on Crypto Assets trading and promote the issuance of ETFs through tax law amendments.

On August 24, according to the Nikkei News, the Financial Services Agency (FSA) of Japan plans to review the treatment of Crypto Assets transactions in the fiscal year 2026 and intends to reference the treatment of listed stocks. This request will be officially made at the end of August, including the transfer of Crypto Assets earnings to a separate tax category, applying a unified tax rate of 20%. As part of tax reform, industry enterprises are also requesting the ability to carry forward losses for three years. Currently, Crypto Assets income in Japan is considered "miscellaneous income," with a progressive tax rate of up to 55%, excluding local taxes. The proposal from the Financial Services Agency will also facilitate Japanese companies in launching domestic Crypto Assets ETFs more easily, enhancing the competitiveness of Japan's Crypto Assets industry. In addition to tax reform, the Financial Services Agency also plans to draft a legislative proposal in 2026 to incorporate Crypto Assets into the Financial Instruments and Exchange Act, categorizing them as "financial products" rather than "payment means" regulated by the Payment Services Act.