Japan has finally taken action.

The new tax reform plan was just released in 2026, and the summary is—cryptocurrency taxes are directly cut from a maximum of 55% to 20%.

What was it like to trade in Japan before? The more you earned, the harsher the taxes, and eventually, activity was crushed. Now, the approach has completely changed:

Crypt assets, stocks, and investment trusts are all consolidated into a unified 20% tax rate system. It sounds simple, but the underlying intention is clear—this is not a policy for retail investors, but a path laid out for institutions, large funds, and long-term participants.

A key condition is set: only "compliant channels" for specific crypto assets. But BTC and ETH are basically locked into the first tier already.

From a capital perspective, what might be the thinking?

Lower tax rate = capital begins to flow back
Compliance framework = institutions can enter
Japan, as one of the most conservative markets in Asia, is starting to loosen up

So, who should be next?

While retail investors are still debating K-line ups and downs, smart money is already tracking another logic—policy direction, low tax advantages, and the certainty of mainstream assets. Don’t underestimate this combination; policies are often not just good news, they are the real starting point of the market.