SBI CEO criticizes slow pace of Japan's crypto tax reform

Tomoya Asakura, CEO of Japan's SBI Global Asset Management, has criticized the slow pace of the country's cryptocurrency tax reform. He warned that Japan risks falling behind not only the U.S. but also other parts of Asia and the Middle East in crypto development, according to DL News. Currently, Japanese crypto traders face taxes of up to 55% on their profits and, unlike with stocks, are not permitted to carry over losses to offset future gains. Japan's Financial Services Agency (FSA) had previously expressed its intent to reclassify crypto as an investment vehicle, aiming to lower the capital gains tax rate to 20% to achieve parity with stock traders. The Japanese Diet is expected to pass an amendment to include cryptocurrencies under the Financial Instruments and Exchange Act in early 2026. As legal amendments typically take a year to be promulgated, traders anticipate the new tax regime will take effect in January 2027.