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Willy Woo: Japan Classifying Bitcoin as a Financial Product Will Stimulate Buying - Summary and Analysis
Analyst Willy Woo stated that Japan's classification of Bitcoin as a financial product means the tax rate on Bitcoin gains will be reduced to 20%, encouraging more people to buy, while losing the tax advantages of self-custody. This reform is expected to be implemented in April 2026. According to Foresight News, analyst Willy Woo commented on "Japan classifying Bitcoin as a financial product this year" that "Japanese people will be more motivated to buy Bitcoin. Classifying Bitcoin as a financial product means the tax rate on Bitcoin gains (or trades) is 20%, rather than the marginal income tax rate (which is 43-55% if annual income exceeds $57,000). Metaplanet will lose its tax arbitrage advantage over self-custodied Bitcoin. About 110 other cryptocurrencies are also included, with staking yields taxed at the marginal rate."
Foresight News previously reported that the Japan Financial Services Agency may introduce cryptocurrency regulatory reforms in April 2026, which will redefine the categories of cryptocurrencies such as Bitcoin and Ethereum, possibly classifying them as financial products.