Japan To Cut Crypto Tax To 20% As Metaplanet Gains

• Japan plans to cut crypto tax from 55% to 20% by 2026 to match stock gains.
• Metaplanet says the tax cut will support its Bitcoin plan and DAT style BTC exposure.
• Lower taxes and clear rules could pull more Japanese investors into Metaplanet and Bitcoin.

Metaplanet CEO Simon Gerovich has defended his firm’s Bitcoin (BTC) accumulation strategy, arguing it is a more profitable long-term vehicle for investors than holding spot BTC exchange-traded funds (ETFs). Gerovich positioned ETF exposure as static, warning investors that the underlying Bitcoin holdings in an ETF do not grow on their own.

Related: Metaplanet Approves $500M Buyback to Narrow Its Bitcoin NAV Discount

According to Gerovich, Digital Assets Strategy (DAT) companies are better positioned than spot BTC ETFs to win the Bitcoin accumulation race. He noted that Metaplanet, as a profit-generating operating business, actively works to increase its shareholders’ Bitcoin holdings over time.

He contrasted this with spot BTC ETFs, which do not inherently increase their holdings. Furthermore, Gerovich pointed out that ETFs levy annual operating fees, which creates a gradual reduction of an investor’s net BTC exposure.

“A BTC ETF provides fixed exposure to Bitcoin. Unless you add it yourself, the amount of BTC it holds will not increase. On the other hand, Metaplanet is entirely different. We are an operating company that generates revenue and profits, and we place increasing our Bitcoin holdings and enhancing Bitcoin exposure per share at the center of our strategy,” Gerovich noted.

Metaplanet has closely followed in the footsteps of Michael Saylor’s Strategy in the Bitcoin accumulation plan. According to market data from BitcoinTreasuries, public companies have accumulated a total of 1,056,362 BTC to date via leveraging global equity markets.

Strategy leads with a total of 641,692 BTC, while Metaplanet is the fourth with around 30,823 BTCs.

The U.S. spot BTC ETFs have dominated the sector globally, despite Hong Kong’s similar products existing for more than a year. According to market data analysis from SoSoValue, the U.S. spot BTC ETFs have a net market value of about $125.34 billion, which translates to about 1.3 million BTCs.

Japan’s Reforms Favor BTC Accumulation

According to a Sunday report from local newspaper Asahi, Japan is considering changing its view on crypto assets led by Bitcoin and Ethereum (ETH). The country’s Financial Services Agency (FSA) is drafting measures that would reclassify 105 crypto assets as financial products.

Ahead of the next financial year, Japan is seeking to enforce tax reduction on crypto assets to match those applied to the stock market. Precisely, Japan’s FSA is seeking to reduce the crypto tax from 55% to a flat rate of 20%. 

As such, Metaplanet is well-positioned to attract more investors seeking to hold Bitcoin and accumulate more passively.

Related: CertiK’s New DAT Report: ‘How You Hold’ Crypto Now Matters More Than ‘What You Hold’