The Parliament of Japan has pushed forward a massive reform of crypto regulation (Bill 57), transferring crypto-asset oversight from the Payments Services Act to the Financial Instruments and Exchanges Act. Although legally non-securities, cryptocurrencies are now subject to the same basic requirements as traditional financial instruments, including strict disclosure rules and market surveillance. The key innovation was an outright ban on insider trading, which carries a penalty of up to five years' imprisonment or a fine of 5 million yen.

The tax implications of reform are no less significant. Crypto revenues in Japan are currently taxed as other income on a progressive scale, with the maximum rate reaching almost 56%. The reform introduces a fixed tax rate of 20.315% for "special crypto assets" and allows losses to be carried forward by three years, equating taxation of cryptoassets with stock market rules. This drastic reduction is aimed at stimulating both institutional and private investment.

Regulatory changes also provide an infrastructure framework for launching domestic crypto ETFs, responding to the global trend of institutional capital inflows into this segment. As the head of QCP Group in Japan, Koichi Kano, has pointed out, the market is shifting from playing "football without knowing the rules" to "American football", where everyone must wear a helmet. The reform effectively removes Japanese cryptoassets from the gray area of payment legislation and integrates them firmly into the perimeter of the traditional financial market.