Japan's 2025 tax reform proposal stated that it is considering reviewing taxation on Virtual Money.

The proposal for the 2025 tax reform in Japan states that a review of taxing Virtual Money is being considered. At the joint meeting of the tax committees of the Liberal Democratic Party and Komeito, the outline of the tax reform for the fiscal year 2025 (Reiwa 7) was finally determined. Takuya Hirai, the first Minister of Digital, visited the Ministry of Finance and submitted an urgent proposal to make encryption assets contribute to the national economy. The following three points have been identified as key points in the proposal. Profits and losses from encrypted asset transactions must be taxed separately; Develop regulatory frameworks related to encryption assets; Strive to make network security an asset contributing to the national economy; Representative Hirai stated that he has obtained Minister Kato's general approval, so it is expected that the process of specific system design will be accelerated. This time, the taxation related to encryption asset trading will be included in the Liberal Democratic Party's tax reform outline, paving the way for specific institutional reforms such as future tax rate adjustments, profit and loss aggregation rules establishment, and tax category changes. It will be displayed. Therefore, the Financial Services Agency and the National Tax Agency will start the specific system design, and businesses such as encryption asset (Virtual Money) exchanges will also be able to make necessary preparations.