Japan's parliament passed and enacted key amendments to the Financial Instruments and Exchange Act, formally classifying cryptocurrencies as financial products.
The amendments were approved in the plenary session of the House of Councillors on Wednesday, completing their passage through both houses of the Diet, according to NHK.
The bill redefines crypto assets as a distinct category of financial products that is similar to stocks and bonds. Previously, cryptocurrency was regulated under the Payment Services Act as a form of payment method.
New changes include stricter insider trading prohibitions, mandatory annual disclosures by issuers of certain crypto assets, and tougher penalties for unregistered operations — raising the maximum prison term from three to ten years and fines from 3 million yen to 10 million yen ($18,500 to $61,600), according to a report from Coinpost.
Lower taxes for crypto
