Japan Plans to Permit Start-ups to Raise Funds Through Cryptocurrencies, Embracing Digital Assets
Summary:
The Japanese government aims to allow start-ups to raise public funds through the issuance of cryptocurrencies instead of stocks. This move comes as Japan seeks to catch up with the global adoption of digital assets. The Financial Services Agency is also looking to amend tax codes related to cryptocurrencies to support local businesses. Additionally, Prime Minister Fumio Kishida reaffirmed Japan's commitment to the Web3 industry. Binance has announced its services for Japanese cryptocurrency users after acquiring a local exchange platform. Cointelegraph requested more details but has not received a response from the Japanese government.
The Japanese government is reportedly considering a new approach to allow start-ups to raise funds through the issuance of cryptocurrency assets rather than stocks. This would apply specifically to Investment Business Limited Partnerships (LPS), as mentioned by Japanese financial news site Nikkei.com. While Japan has previously been slow in embracing digital assets, recent developments have shown a shift in the nation's stance. For instance, the Financial Services Agency (FSA) announced plans in August to amend tax codes related to cryptocurrencies, aiming to exempt local businesses from year-end taxes on unrealized gains from cryptocurrencies. Japanese Prime Minister Fumio Kishida also emphasized Japan's dedication to supporting the Web3 industry at the WebX conference in Tokyo. Notably, Binance, following its acquisition of local exchange platform Sakura Exchange Bitcoin (SEBC) in November 2022, has recently announced providing services to Japanese cryptocurrency users. Cointelegraph has reached out to the Japanese government for further information on this matter but has not yet received a response.
Published At
9/15/2023 1:41:06 PM
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