LG Group Hosts Super Start Day to Promote Innovation and Collaboration in Blockchain and More

Japan Progresses With Web3 White Paper ReleaseJapan has released a white paper on Web3, with the aim of promoting the growth of the crypto industry in the country. The white paper, titled “Web3 for All: The Future of the Digital Economy in Japan”, outlines a number of proposals to make the regulatory environment for crypto more friendly and conducive to growth.©Pexels/DSDDeveloping a roadmapThe Japanese government has been looking at ways to foster innovation in the crypto industry, which has been gaining traction in recent years. With the release of the Web3 white paper, the government is hoping to provide a roadmap for the development of the industry in the country.One of the key proposals in the white paper is the establishment of a regulatory sandbox for crypto startups. The sandbox would provide a safe space for companies to experiment with new ideas and technologies, without the risk of falling foul of regulations. This would help to encourage innovation and entrepreneurship in the industry, and could lead to the creation of new products and services.Another proposal in the white paper is the introduction of a digital asset exchange license. This would allow companies to operate crypto exchanges in Japan, provided they meet certain regulatory requirements. This would help to create a more stable and reliable marketplace for cryptocurrencies in the country, and could attract more investors to the industry.Blockchain R&D hubThe white paper also proposes the establishment of a blockchain research and development hub. This would bring together academics, researchers, and industry experts to collaborate on the development of new blockchain technologies. The hub would help to promote innovation and knowledge sharing, and could lead to breakthroughs in the field.In addition to these proposals, the white paper also calls for the creation of a new government agency to oversee the development of the crypto industry in Japan. The agency would be responsible for implementing and enforcing regulations, as well as providing guidance and support to companies in the industry.The release of the Web3 white paper has been welcomed by the crypto industry in Japan. Many industry insiders see it as a positive step towards creating a more supportive environment for innovation and growth. Some have also praised the government for taking a proactive approach to the development of the industry, and for recognizing its potential to drive economic growth in the country.White paper concernsHowever, there are also some concerns about the proposals outlined in the white paper. Some worry that the regulatory sandbox may not provide enough protection for consumers, and that it could lead to the proliferation of untested and potentially risky products and services. Others have raised concerns about the potential for government interference in the industry, and the impact this could have on innovation and entrepreneurship.Despite these concerns, it is clear that the release of the Web3 white paper marks a significant milestone in the development of the crypto industry in Japan. With its proposals for a regulatory sandbox, digital asset exchange license, blockchain research and development hub, and new government agency, the white paper provides a roadmap for the growth of the industry in the country. It remains to be seen how these proposals will be received and implemented, but they are certainly a step in the right direction for the future of the crypto industry in Japan.

At the 'Beyond Coin: Brace for Digital Asset Super Cycle' conference held in Seoul on April 30, Lee Hae-bung, Head of Investor Protection Center at Upbit, said that it is significantly important for virtual asset service providers (VASP) to fulfill their responsibilities at a time when the government authority is laying the groundwork for crypto regulations, according to local media TECH M. Upbit is one of the few licensed cryptocurrency exchanges in South Korea. The conference was jointly organized by SEUM Law Firm and local media outlet TECH M.  During his speech at the conference, Lee stated that by adhering to industrial rules and meeting obligations, VASPs can protect not only crypto investors but also themselves. This is how the crypto industry can enhance the value of blockchain and build trust surrounding the cutting-edge technology, he asserted. Photo by Lukas on PexelsShifting paradigm Lee said everything created based on blockchain and ledger technology is now deemed assets and property in the modern world, warranting new regulations. This marks a contrasting shift from the past when only fiat currencies were considered assets and mediums of storage.  In the following sessions, he delivered presentations about cryptocurrency regulations in various countries such as the U.S., Singapore, Hong Kong and several EU member states. During his speech, four moral pillars – legal clarity, responsible innovation, accountability and resilience – were particularly highlighted as ethical requirements for VASPs.  Ten minus one equals zeroLee noted that Korea's crypto industry is currently going through transitional phases, during which the nationwide crypto craze disrupted the market and turned many good-willed investors into victims. The recent Bitcoin rally has lured many young Korean investors in their 20s and 30s to the crypto market, many of whom engaged in reckless investments with borrowed money.  The industry is now at a point where regulations are being laid out for investor protection, however, heading into a sustainable and healthy direction, he added.  "Ten minus one equals zero when it comes to regulating the crypto industry," Lee said, underscoring the significance of completing all the tasks related to establishing regulation in the local crypto space. “Transparency and accountability are the two most important values VASPs must safeguard on their journey to building trust. If VASPs fulfill these obligations, they should be able to gain the trust of users. Otherwise, they must bear liability for the consequences,” he added, citing the European Union’s Market in Crypto Asset (MiCA) Regulation as a model example that values transparency and accountability. The MiCA Regulation is currently being discussed by legislators from EU member states.  

The Japan Exchange Group (JPX), operator of the Tokyo and Osaka stock exchanges, is considering measures to curb the expansion of publicly listed digital-asset treasury (DAT) firms, according to sources speaking to Bloomberg. JPX is reportedly exploring various regulatory avenues, ranging from tightening backdoor listing rules to mandating new audits for applicable firms. Following recent scrutiny from the exchange, three Japanese public companies have suspended their cryptocurrency purchase plans since September. These firms were reportedly warned that pursuing crypto investment as a core strategy could restrict their ability to raise future capital. While JPX currently lacks binding regulations explicitly prohibiting listed companies from accumulating digital assets, a representative stated that the exchange is monitoring firms with potential governance and risk issues to protect the interests of shareholders and investors.Photo by Su San Lee on UnsplashMetaplanet responds to regulatory concernsFollowing the Bloomberg report, Metaplanet, a Japanese public company that has adopted a Bitcoin accumulation strategy similar to that of the American firm Strategy, issued a clarifying statement. The firm asserted that it "has not been subject to any regulatory actions or investigations by relevant authorities concerning our business operations." Metaplanet emphasized its willingness to engage in constructive dialogue with regulators should any inquiries arise. According to BitcoinTreasuries.net data, Metaplanet is currently Japan’s largest corporate Bitcoin holder and ranks fourth globally among public companies, trailing only Strategy, MARA Holdings, and XXI. The extent of the firm’s commitment to this strategy was highlighted by Shinpei Okuno, Metaplanet’s Head of IR and Capital Strategy, who shared the company’s holdings via X. Balance sheet data as of September 30, 2025, reveals that Bitcoin accounts for 99% of Metaplanet’s total assets, 542.7 billion yen out of 550.7 billion yen. Okuno noted that the company aims to maintain a balance sheet structure that supports the issuance of digital credits collateralized by its crypto holdings. Market performance and sector outlookThe stock performance of DAT firms highlights the market's reaction to these risks. According to Yahoo Finance data, Metaplanet’s share price has declined 40.29% over the past six months to 372 yen. This drop outpaces Bitcoin’s 8% decline over the same period. This downward pressure is visible across the broader DAT sector. Decrypt reported that Strategy's stock has fallen 50% from its July peak, while SharpLink, which invests in Ethereum, has dropped nearly 90%. Data from StrategyTracker indicates that the market-net-asset values (mNAVs) of these firms have slipped to near or below 1, reflecting depressed valuations. Analysts warn that low mNAVs complicate capital raising efforts, potentially forcing these firms to liquidate crypto holdings to cover operating expenses. At the same time, the analysts acknowledged possible tailwinds. Fakhul Miah, Managing Director at GoMining Institutional, told Decrypt that Bitcoin-oriented DATs generally outperform those investing in multiple, higher-risk crypto assets. He suggested that if U.S. economic data indicates easing inflation and the Federal Reserve cuts rates in December, Bitcoin could rally. Yaroslav Patsira, Fractional Director at CEX.IO, echoed this sentiment, noting that the outlook for DATs is tied closely to Bitcoin’s potential upside. Taking a longer-term view, Decrypt noted that despite the recent pullback, crypto-related equities have shown strong year-to-date (YTD) performance relative to the underlying asset. Galaxy Digital is up 73.4% and SharpLink 43.2% YTD, compared to Bitcoin’s 8.6% gain, suggesting the current correction is taking place within a broader uptrend. Japanese stablecoin push faces U.S. resistanceBeyond the equity markets, Japanese crypto initiatives are also encountering regulatory friction in the U.S. Decrypt reported that a coalition of small U.S. banks has formally objected to a bid by Connectia Trust, a proposed subsidiary of Sony Bank, to issue dollar-backed stablecoins in the U.S. Sony Group’s banking arm last month applied to the Office of the Comptroller of the Currency for a national trust charter to facilitate these issuances. The Independent Community Bankers of America (ICBA) argues that the Japanese institution is attempting to exploit regulatory gaps to avoid the oversight applied to traditional banks, noting that Connectia’s stablecoin bears similarities to bank deposits. However, Kadan Stadelmann, CTO of Komodo Platform, offered a different view, telling Decrypt the concerns are “overstated and driven by big-bank interests.” As Connectia’s application undergoes U.S. regulatory review, it has once again exposed the underlying divide between established banking interests and crypto-native approaches to financial services, particularly around how stablecoin issuers should be overseen.