Japan plans to lower the tax rate on specific digital assets to 20% starting in 2026, aligning it with the tax rate for stocks and investment trusts. This change aims to stimulate the digital asset market, which is currently hindered by a tax rate of up to 55% on crypto gains. The reduced rate will apply only to assets managed by licensed firms, potentially including major cryptocurrencies like Bitcoin and Ethereum.
The move is expected to encourage more trading activity and investment in the crypto sector. However, the specific requirements for which digital assets will qualify for the reduced tax rate remain unclear, leaving traders to speculate on the impact this will have on altcoins and the broader market in the coming years.
Japan to Reduce Crypto Tax Rate to 20% for Licensed Assets in 2026
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