TechFlow news, December 29 — According to Cryptonews citing the Nikkei newspaper, Japan has recently released its 2026 tax reform blueprint proposing a significant reduction in cryptocurrency tax rates to a flat 20%. Currently, Japanese crypto asset gains are subject to a maximum tax rate of 55%, a high rate that has suppressed domestic trading activity.
The report states that the new tax reform will bring cryptocurrency profits under the same 20% flat tax framework applied to stocks and investment trusts, but only for "specified crypto assets" handled by firms registered on the Financial Instruments Business Operators registry. Major cryptocurrencies such as Bitcoin and Ethereum may qualify, though specific business requirements remain unclear.
