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Japan has officially recognized cryptocurrency

Japan has officially recognized crypto assets as financial assets and plans to move more than 100 leading cryptocurrencies—such as Bitcoin and Ethereum—into a regulatory framework similar to that of stocks and bonds.

This is expected to increase confidence among institutional investors, support stable market growth, and create a more favorable tax environment.

The bill has already been approved by the Japanese Cabinet and is expected to be discussed in parliament, with the aim of coming into force by 2027. In anticipation of this, major Japanese financial institutions have begun actively developing new crypto-based products and services.

Analysts view this move as part of Prime Minister Sanae Takaichi’s broader strategy to position digital assets as a key driver of economic growth and financial innovation.

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