Is Japan expected to stockpile Bitcoin? Ishiba Shigeru's response?
According to (CoinPost) reports, the Japanese government has responded to the issue of Bitcoin reserves, showing that it is still conservative.
The report pointed out that the defense was in response to a question raised by Senator Satoshi Hamada. Since the Japanese government has not yet fully grasped the specific trends in Bitcoin reserves in countries such as the United States, Hamada mentioned discussions related to the promotion of Bitcoin reserves in other countries. , is still in its early stages, so it is "difficult for Japan to state a specific position."
The Japanese government emphasized that cryptocurrencies do not fall under the category of foreign exchange according to the legal framework for special accounting applications. The current foreign exchange reserve system mainly focuses on maintaining the stability of the foreign currency assets and foreign currency bond markets, and the government particularly emphasizes that reserve management must take safety and liquidity as the primary considerations.
Although Federal Reserve Chairman Jerome Powell has clearly stated that 'the Fed cannot hold Bitcoin', Trump and some Republican lawmakers are still actively promoting the establishment of a strategic Bitcoin reserve.
The Liberal Democratic Party has proposed using blockchain technology to promote regional revitalization.
When Shigeru Ishiba ran for the new president of the Liberal Democratic Party, he particularly proposed the idea of using technology to promote regional revitalization in his policy advocacy.
In his 'Regional Revitalization 2.0' policy, Shigeru Ishiba clearly stated the intention to effectively utilize blockchain technology and NFTs to transform traditional values such as local food culture and tourism experiences into globally competitive digital assets.
Source: 2024 Liberal Democratic Party Presidential Election Shigeru Ishiba Policy Collection. Shigeru Ishiba clearly stated in his 'Regional Revitalization 2.0' policy that he intends to effectively utilize blockchain technology and NFTs.
Shigeru Ishiba's policy advocacy also includes eliminating information gaps through improved internet infrastructure and promoting digitization, while fostering local talent development in fields such as distance education, healthcare, and business. The purpose of these policies is to eliminate the concentration of resources in Tokyo while providing more development opportunities for local businesses and startups.
The Japan Cryptocurrency Business Association (JCBA) issued relevant guidelines in December 2023, explaining how to use NFTs and DAOs (Decentralized Autonomous Organizations) to strengthen local community connections and promote regional revitalization.
In addition, Hiroshi Hirakawa, a member of the Liberal Democratic Party's Digital Social Promotion Headquarters, also expressed optimism about the development of NFTs, advocating for the integration of Japan's intellectual property (IP) with NFTs to enter the global market.
Japan has for the first time included cryptocurrency tax reform in the outline for 2025.
In addition to regional revitalization policies, the Japanese government is also preparing to discuss relevant reforms to virtual asset taxation in 2025.
(Crypto City) Previously reported, the Liberal Democratic Party and Komeito's Tax System Investigation Committee recently announced the outline for tax reform in 2025, which for the first time includes discussions on virtual asset taxation, expecting significant breakthroughs in industry development.
For a long time, Japanese cryptocurrency investors have been subject to a high miscellaneous income tax rate of up to 55%, and have been unable to offset cross-year losses, leading to many talents and projects flowing overseas.
The initial digital minister of the Liberal Democratic Party, Takuya Hirai, has proposed an 'Emergency Proposal on Virtual Assets', suggesting that cryptocurrency trading profits be taxed separately, establishing a clear regulatory framework, and increasing investment in cybersecurity. If the legislative process goes smoothly in the future, the tax rate is expected to decrease to around 20%, and cross-year loss offsets will be permitted.
This reform outline also mentions adjusting the annual income threshold, planning to raise the current limit of 1.03 million yen to 1.23 million yen, and including 'targeting an increase to 1.78 million yen' in the discussions for 2025.
Although Yuichiro Tamaki, representative of the Constitutional Democratic Party, believes that the adjustment to 1.23 million yen is still insufficient, these policies indicate the Japanese government's intention to support the blockchain and cryptocurrency industries.
Further Reading:
A new chapter for Japan's Web3 has arrived! One chart to understand the progress of crypto regulation, compiled by well-known KOLs.
'Is Japan likely to reserve Bitcoin? Shigeru Ishiba responded! What are the future proposals for cryptocurrency policy?' This article was first published in 'Crypto City'.
