Japan Embraces Crypto Innovation with New Investment Bill
Japan approved a bill that adds crypto assets to the list of permissible investments for domestic venture capital and investment funds. The move represents a major step in embracing digital asset innovation by the Asian tech powerhouse.
Japan has already implemented frameworks around stablecoins and outlined plans to promote Web3 technology. The country has also maintained tough stances on user protection within the space.
The newly approved bill would allow venture capital firms to invest in and acquire crypto assets.
Also read: Ripple (XRP) Faces Resistance at $0.60, But Analysts Expect 20% Surge
The amended Industrial Competitiveness Enhancement Act aims to “promote the creation of new businesses and investment in industry” while providing “intensive support to medium-sized companies and startups,” per officials.
The Ministry of Economy, Trade, and Industry (METI), which approved the revision, specified that it covers the addition of crypto assets to the list of permissible holdings under investment limited partnerships (LPs).
VC Firms in Japan faced crypto prohibitions earlier
Previously, Japanese VC firms faced prohibitions on crypto-related investments – forcing local Web3 startups to seek funding from overseas backers in many cases. Industry members hope the deregulation unlocks domestic capital to fuel innovation.
The fleet of amendments also adjusts the legal treatment of crypto for other entities like the Industrial Property Information and Training Center and the New Energy and Industrial Technology Development Organization.
Also read: Solana (SOL) Forecasted to Reach $150: Here’s When
The developments fall in line with Japan’s approach of promoting blockchain innovation through regulation rather than restriction. With the country also gearing up to pilot a digital yen as early as next spring, adoption efforts appear poised to accelerate.
Read More
Japan Embraces Crypto Innovation with New Investment Bill
Japan approved a bill that adds crypto assets to the list of permissible investments for domestic venture capital and investment funds. The move represents a major step in embracing digital asset innovation by the Asian tech powerhouse.
Japan has already implemented frameworks around stablecoins and outlined plans to promote Web3 technology. The country has also maintained tough stances on user protection within the space.
The newly approved bill would allow venture capital firms to invest in and acquire crypto assets.
Also read: Ripple (XRP) Faces Resistance at $0.60, But Analysts Expect 20% Surge
The amended Industrial Competitiveness Enhancement Act aims to “promote the creation of new businesses and investment in industry” while providing “intensive support to medium-sized companies and startups,” per officials.
The Ministry of Economy, Trade, and Industry (METI), which approved the revision, specified that it covers the addition of crypto assets to the list of permissible holdings under investment limited partnerships (LPs).
VC Firms in Japan faced crypto prohibitions earlier
Previously, Japanese VC firms faced prohibitions on crypto-related investments – forcing local Web3 startups to seek funding from overseas backers in many cases. Industry members hope the deregulation unlocks domestic capital to fuel innovation.
The fleet of amendments also adjusts the legal treatment of crypto for other entities like the Industrial Property Information and Training Center and the New Energy and Industrial Technology Development Organization.
Also read: Solana (SOL) Forecasted to Reach $150: Here’s When
The developments fall in line with Japan’s approach of promoting blockchain innovation through regulation rather than restriction. With the country also gearing up to pilot a digital yen as early as next spring, adoption efforts appear poised to accelerate.
Read More