Japan’s cabinet approves bill to classify crypto assets as financial products: Nikkei
The Block
The Japanese cabinet approved a bill to regulate cryptocurrencies as financial products, aiming to strengthen oversight and penalize market misconduct.Summary
The Japanese cabinet has approved a legislative bill to reclassify cryptocurrencies as financial products under the Financial Instruments and Exchange Act. This shift, reported by Nikkei, moves regulation away from the Payment Services Act to increase oversight, prohibit insider trading, and mandate annual information disclosures. The bill also imposes stricter penalties on unregistered operators, increasing maximum prison sentences to 10 years and significantly raising fines. This development aligns with broader efforts in Japan to regulate the crypto sector more rigorously while exploring potential future approvals for crypto-based ETFs and tax reforms.
(Source：The Block)