$ETH Japan is moving ahead of schedule with major crypto tax reforms, aiming to cut Ethereum and crypto capital gains tax from up to 55% down to around 20%.
According to recent policy discussions, the Japanese government plans to reclassify major cryptocurrencies like Ethereum and Bitcoin as financial products, similar to stocks. This change would allow crypto profits to be taxed under a flat capital gains rate, instead of the current progressive system.
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📌 Why this matters:
Investors currently face one of the highest crypto tax rates in the world (up to 55%)
A 20% flat tax could attract institutions, developers, and long-term investors
Japan aims to become more competitive with other crypto-friendly regions
⏳ These reforms are expected to be proposed formally in Japan’s 2026 fiscal policy, but signals suggest implementation could come earlier than expected.
🇯🇵 If approved, this move could mark a turning point for crypto adoption in Japan, especially for Ethereum-based projects and Web3 innovation.