Japanese Minister of Finance Satsuki Katayama has committed to providing formal assistance to integrating digital assets into the nation’s existing financial infrastructure, positioning stock and commodity exchanges as one of the primary entry points for increasing citizens’ exposure to crypto-related services. Her statements, made as part of a New Year’s speech at the Tokyo Stock Exchange, align with a progression of regulatory measures already being implemented to integrate cryptocurrencies into the Japanese financial landscape. Katayama referred to exchanges as key institutions of the interaction between investors and digital, blockchain-based assets. Exchanges positioned as access points for digital assets During her speech, Katayama highlighted progress in the United States, where crypto ETFs were presented as regulated investment products. The source emphasized the utilization of traditional market structures to provide exposure to digital assets. Currently, Japan does not offer domestically traded crypto ETFs, and Katayama has not provided a date or policy on when it plans to launch this. Katayama also linked the assimilation of digital assets to broader economic issues. She described 2026 as a turning point in the fight against structural challenges that had remained unaddressed over the years, including deflation as a policy of fiscal action and investment in growth-oriented sectors. Regulatory reclassification and tax reforms The Japanese regulatory bodies have already taken action in accordance with Katayama’s position. In November, the Financial Services Agency ruled to reclassify the 105 most popular cryptocurrencies, including Bitcoin and Ether, as financial products under existing laws. The tax policy has also not been left out. Cryptocurrency income is taxed as miscellaneous income in Japan, and any gains are taxed at a marginal tax rate ranging from 15% to 56%. The FSA has been lobbying to modify the provisions to tax crypto gains under a separate category, as stocks are taxed at a flat rate of approximately 20.315%. The government is also attempting to limit the maximum effective rate of the reclassified assets to 20%, instead of 55%. In October, the FSA allegedly convened a debate that permitted banks to trade and hold cryptocurrencies as stocks or government bonds. Japan’s i nstitutional adoption and market developments Current market trends indicate a growth in institutional involvement and regulatory reforms. In September 2025, FTSE Russell announced that Bitcoin treasury company Metaplanet had been promoted to a mid-cap asset in the monthly FTSE Russell Semi-Annual Review, and its shares may now be included in the main FTSE Russell Japan Index. Other major financial groups are creating projects on blockchain. Chainlink has teamed up with the SBI Group to develop crypto-specific tools for Asian financial institutions. Additionally, SBI has formed new blockchain partnerships with Circle, Ripple, and Startale. Claim your free seat in an exclusive crypto trading community - limited to 1,000 members.