Tokyo, December 4, 2025 — Japan is set to introduce a flat 20% tax on cryptocurrency gains, replacing the current system where profits can be taxed at over 50%. The move aims to make crypto trading more competitive and bring digital assets in line with stocks and other financial products.
The reform also includes reclassifying major cryptocurrencies as financial instruments, which will add stricter disclosure rules and insider-trading regulations for exchanges.
If approved this month, the new tax and regulatory framework will take effect in 2026, marking Japan’s biggest shift toward a more investor-friendly crypto environment. 