Japan’s ruling party pushes crypto ETFs, yen-denominated stablecoins
LDP lawmakers are pushing Japan to reform crypto taxation and expand support for yen-denominated stablecoins. A parliamentary blockchain group presented Finance Minister Satsuki Katayama with recommendations covering stablecoins, crypto ETFs, CBDCs, and broader blockchain use. The proposals include raising the leverage cap for retail crypto derivatives trading and creating a legal framework for digital asset ETFs. Katayama said Japan should not fall behind global developments, citing US crypto policy. LDP member Junichi Kanda said Japan should promote on-chain finance across Asia through yen stablecoins. The push follows recent moves to treat crypto assets as financial instruments and possible regulatory changes to permit crypto ETFs. Japan is also weighing entry into the stablecoin market, which is dominated by US dollar-pegged tokens, while Polymarket is reportedly considering a future Japan launch.
