Overview
- Japan’s parliament completed passage of amendments on Wednesday, July 15, 2026, moving major cryptocurrencies into the Financial Instruments and Exchange Act.
- The law shifts oversight away from the Payment Services Act and targets implementation in fiscal 2027 when investment-style rules begin to apply.
- Lawmakers also approved a plan to tax qualifying crypto gains at about 20 percent with that separate tax treatment expected to start in January 2028 after rules are defined.
- The amendments add investor-protection measures including explicit insider-trading bans, annual disclosure rules for issuers, and higher penalties for unregistered operators of up to 10 years in prison and ¥10 million in fines.
- Key changes are not immediate because the Financial Services Agency, the Japan Exchange Group and other agencies must issue ordinances, set listing rules and approve any spot ETF products before markets and taxes are altered.