The Financial Services Agency (FSA) in Japan is poised for a major shift in how it classifies popular cryptocurrencies, with a potential plan to officially categorize over 100 leading digital assets as financial investment products. This proposal could include names like Bitcoin and Ethereum, alongside many other widely-used tokens on Japanese exchanges. If implemented, this move would align Japan’s approach more closely with other countries and simplify the tax burden for investors. The FSA is also considering a reduced tax rate of 20%, compared to the current 55% rate for crypto profits. This change aims to encourage further investment in the sector and potentially attract Web3 developers and innovators to Japan, rather than to jurisdictions like Singapore or Dubai.