Japan's tax system is undergoing significant changes. According to the latest policy, the tax rate on cryptocurrencies will be drastically reduced from the previous maximum of 55% to 20%, and this reform is expected to be officially implemented in 2026.

The scope of the policy is somewhat limited—only applicable to certain asset categories that meet specific criteria. However, industry experts generally believe that mainstream digital assets like Bitcoin and Ethereum are likely to be included in the preferential tax rate range. This could have a substantial impact on trading activity.

High tax rates used to be a major factor suppressing trading enthusiasm, leading many investors to adopt a wait-and-see approach due to heavy tax burdens. Now, with policy easing and a clear reduction in trading costs, market participation is expected to increase. However, one detail to watch is the processing procedures at the institutional level and the design of compliance frameworks. Whether these can be smoothly implemented will directly determine if the policy benefits can be fully realized.

This wave of adjustments is a positive signal for the entire Asian crypto market.