New Developments in Japan’s Crypto Regulations
On the 27th, Digital Minister Masaaki Taira announced at the “Taira Forum”(an event he hosts) that the Web3 Project Team (Web3PT) will be dissolved. Instead, a new position dedicated to crypto-related matters will be established within the Liberal Democratic Party’s Digital Society Promotion Headquarters.
Congressman Akihisa Shiozaki to Lead Crypto-Focused Role
According to local reports, Congressman Akihisa Shiozaki will assume this new crypto-focused role after serving as an executive director of Web3PT. While Web3PT will be disbanded, this does not indicate a reduction in the government’s commitment to promoting Web3. Further details regarding the newly formed Web3 staff are expected to be released soon.
Impact of Web3PT on Japan’s Regulatory Landscape
Representative Taira, who chaired Web3PT, played a leading role in shaping cryptocurrency and digital asset regulations in Japan. Following his appointment as Digital Minister, he sought to accelerate Web3PT’s initiatives and trends.
Notably, in 2022, Shiozaki addressed Japan’s virtual currency and Web3 policies, even advocating for a dedicated minister to oversee Web3 developments. This proposal was considered progressive, particularly in comparison to the U.S. Biden administration’s stance at the time.
Web3PT has significantly influenced Japan’s regulatory landscape, including providing recommendations to former Prime Minister Kishida. In April, the group released the “Web3 White Paper 2024,” which outlined several proposals. One key recommendation emphasized the need for separate taxation on crypto gains, an issue which Japan has since addressed by revising its corporate tax rules.
Promotion of Decentralized Autonomous Organizations (DAOs)
The Ministry is also actively promoting Decentralized Autonomous Organizations (DAOs). With the number of DAOs rising in Japan, past hackathons have explored systemic support measures for these entities.
Prime Minister Ishiba’s Embrace of Blockchain and NFTs
Current Prime Minister Ishiba has included blockchain and NFTs as central elements of his policy agenda. In his policy book for this year’s Liberal Democratic Party presidential election, titled “Regional Revitalization 2.0,” he proposed leveraging blockchain technology and NFTs to boost local markets, particularly in the tourism sector.