Michaela
Summary: What did Japan’s Finance Minister say about cryptocurrencies and investment?
Japanese Finance Minister Katsunobu Kato highlighted that cryptocurrencies, despite their high volatility, can be part of diversified investment portfolios if a proper investment environment is created. He emphasized that the government is working to balance regulation with innovation. These efforts aim to build a safer and more structured market for crypto investors.
Japanese Finance Minister Katsunobu Kato has acknowledged that cryptocurrencies can play a role in diversified investment portfolios, remarks he made during his keynote at the Web3 Conference WebX 2025.
According to Bloomberg Japan, Finance Minister Kato noted that “cryptoassets have the risk of high volatility, but by creating an appropriate investment environment, they can become a target for diversified investments.” He further stressed that the government is working to establish a balanced regulatory framework that supports innovation while avoiding excessive restrictions.
The report also noted that the Liberal Democratic Party’s 2025 House of Councillors election platform includes initiatives aimed at building a nation focused on asset management, such as implementing insider trading regulations and establishing separate taxation to ensure transaction integrity.
The announcement comes after reports that Japan’s Financial Services Agency (FSA) plans to approve the nation’s first yen-backed stablecoin, paving the way for fiat-backed digital tokens as early as this fall.
Tokyo-based fintech firm JPYC is set to register as a licensed money transfer business this month and spearhead Japan’s first yen-backed stablecoin launch. The stablecoins will maintain a 1:1 peg with the Japanese yen, supported by highly liquid assets including bank deposits and government bonds. Upon purchase, the tokens will be transferred to users’ digital wallets via bank transfers.
Finance Minister Signals Regulatory Support That Could Benefit SHIB Investors
These developments highlight that the Finance Minister’s focus isn’t on hacks, specific infrastructure, or ETFs at this stage — it’s on legitimizing cryptocurrencies as part of investment portfolios and fostering a healthier trading environment.
This regulatory emphasis could have direct implications for SHIB in Japan. By positioning crypto as a recognized asset class, Japan may create a more favorable environment for SHIB holders, with potential benefits including clearer tax treatment, fairer rates, and enhanced trading infrastructure. A regulated framework could also support smoother SHIB liquidity on Japanese exchanges, improving accessibility and encouraging wider adoption.
In addition, as Japan continues to refine its crypto regulations, SHIB investors could see increased confidence in the market, encouraging both long-term holding and active trading. Over time, these regulatory measures could position Japan as a key hub for SHIB trading, giving holders greater assurance and access to a more robust and secure ecosystem.
Read More
- Game Changer? Japan Moves to Classify Crypto as a Financial Product
- Japanese Financial Regulator Proposes Reclassification of Cryptocurrency
- Japan FSA Warns Crypto Exchanges KuCoin, Bybit, Others for Unregistered Operations
Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
