Current situation of Japan’s crypto market: regulation intervened too early, and competitiveness is not as good as Hong Kong and Singapore?
By Rick Maeda
Compiled by: TechFlow
overview
Despite Japan’s early adoption of cryptocurrency, its development has been rocky due to two of the largest crypto exchange hacks in history.
These events forced Japan’s regulators to step in earlier than in other countries and provide a clear regulatory framework for the industry.
However, strict regulations and high taxes make Japan less competitive than its neighbors such as Singapore and Hong Kong.
With low transaction volumes and a lackluster domestic startup environment, Japan faces numerous challenges in developing its Web3 industry, and a revival will require major policy changes.