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[Willy Woo: Japan to Classify Bitcoin as a Financial Product, Potentially Stimulating Buying Pressure] Analyst Willy Woo stated that Japan will classify Bitcoin as a financial product this year, which will incentivize Japanese citizens to purchase Bitcoin. The tax rate on Bitcoin earnings or transactions will be reduced to 20%, instead of the marginal income tax rate (43-55% for annual income exceeding $57,000). Metaplanet will lose its tax arbitrage advantage compared to self-custody of Bitcoin. Additionally, approximately 110 cryptocurrencies are included, with staking rewards taxed at the marginal rate. Earlier reports indicated that Japan's Financial Services Agency may introduce cryptocurrency regulatory reforms in April 2026, redefining categories of crypto tokens like Bitcoin and Ethereum as financial products.

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