Japan’s cabinet has passed a bill that expands the
investment landscape for venture capital firms and investment funds by
permitting them to acquire and hold crypto assets. If passed by parliament,
this move could catalyze investment in Web3 startups, positioning Japan at the
forefront of blockchain technology and decentralized finance.
etoro: Experience a reliable, user-friendly platform trusted by millions. Stay ahead in the crypto world. Board the Crypto Train now!
According to the press release translated from
Japanese, the bill, dubbed the Industrial Competitiveness Enhancement Act, opens new avenues for venture capital and positions Japan
as a significant player in the global crypto market. Having secured the approval of Japan’s cabinet, the
bill will be scrutinized by the parliament.
The Industrial Competitiveness Enhancement Act aims
to stimulate economic growth by promoting the creation of new businesses and investment
in industries driving Japan’s economy. By empowering medium-sized companies and
startups, Japan aims to strengthen innovation in the country.
Japan’s proactive approach to crypto regulation is evident in its efforts to establish a legal framework for stablecoins and digital assets. The country aims to promote innovation in the crypto space while prioritizing user protection.
Keep Reading
Following the fallout from the Coincheck hack in
2018 and the collapse of FTX in 2022, Japan’s regulation for digital assets has
significantly transformed, Finance Magnates reported.
Navigating Market Challenges
Japan’s stablecoin regulations mark a bold step
towards regulatory clarity. By enacting dedicated laws, Japan distinguishes
itself as a global leader in the governance of stablecoin governance. In
contrast to the United States and the European Union, Japan offers clear
regulations for the industry.
However, Japan’s stablecoin regulations pose challenges
for issuers, particularly in navigating profitability amidst low-interest rate
environments. For instance, the mandate to maintain 100% of assets within
Japan’s trust accounts presents hurdles for yen-based stablecoins.
Japan’s cabinet has passed a bill that expands the
investment landscape for venture capital firms and investment funds by
permitting them to acquire and hold crypto assets. If passed by parliament,
this move could catalyze investment in Web3 startups, positioning Japan at the
forefront of blockchain technology and decentralized finance.
According to the press release translated from
Japanese, the bill, dubbed the Industrial Competitiveness Enhancement Act, opens new avenues for venture capital and positions Japan
as a significant player in the global crypto market. Having secured the approval of Japan’s cabinet, the
bill will be scrutinized by the parliament.
etoro: Experience a reliable, user-friendly platform trusted by millions. Stay ahead in the crypto world. Board the Crypto Train now!
The Industrial Competitiveness Enhancement Act aims
to stimulate economic growth by promoting the creation of new businesses and investment
in industries driving Japan’s economy. By empowering medium-sized companies and
startups, Japan aims to strengthen innovation in the country.
Japan’s proactive approach to crypto regulation is evident in its efforts to establish a legal framework for stablecoins and digital assets. The country aims to promote innovation in the crypto space while prioritizing user protection.
Keep Reading
Following the fallout from the Coincheck hack in
2018 and the collapse of FTX in 2022, Japan’s regulation for digital assets has
significantly transformed, Finance Magnates reported.
Navigating Market Challenges
Japan’s stablecoin regulations mark a bold step
towards regulatory clarity. By enacting dedicated laws, Japan distinguishes
itself as a global leader in the governance of stablecoin governance. In
contrast to the United States and the European Union, Japan offers clear
regulations for the industry.
However, Japan’s stablecoin regulations pose challenges
for issuers, particularly in navigating profitability amidst low-interest rate
environments. For instance, the mandate to maintain 100% of assets within
Japan’s trust accounts presents hurdles for yen-based stablecoins.