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Japan to Reclassify Crypto as Financial Product, Paving Way for ETFs
Japan’s top financial regulator proposed a major overhaul of how cryptocurrencies are classified and taxed, opening the door to crypto exchange-traded funds (ETFs) and making the country a more attractive hub for digital asset investment. The Financial Services Agency (FSA) on Tuesday floated a proposal to recognize crypto assets as “financial products” under the Financial Instruments and Exchange Act — the same legal framework that governs stocks and other traditional securities. If adopted, this would bring crypto under stricter oversight but also unlock financial innovations like regulated ETFs. Crucially, ... (full story)