---
type: city
domain: crypto-regulation
status: stable
tags: ["crypto-regulation", "asia_pacific", "fatf", "legal"]
aliases: ["JP-TK", "JPN-TK", "東京"]
created: 2026-04-13
updated: 2026-04-02
compile_into: ["[[country--japan]]"]
sources:
  - name: "JFSA / JVCEA"
    url: "https://www.fsa.go.jp"
    type: "official"
  - name: "[[concept--payment-services-act|Payment Services Act]] and Financial Instruments and Exchange Act (FIEA)"
    url: "https://www.fsa.go.jp"
    type: "framework"
---

# 🇯🇵 [[city--tokyo|Tokyo]] (JP-TK) — Crypto Regulation

> Japan has a clear and established regulatory framework for cryptocurrencies under the Payment Services Act and the Financial Instruments and Exchange Act (FIEA). The Financial Services Agency (FSA) oversees licensing and compliance, ensuring a regulated environment for crypto businesses.

## Overview

| Field | Value |
|-------|-------|
| Status | Legal |
| Sub-jurisdiction of | [[country--japan|Japan]] |
| Risk Score | 30/100 (Moderate Risk) |
| Enforcement Level | Moderate |
| Region | [[domain--asia-pacific|asia pacific]] |
| Currency | [[entity--jpy|JPY]] |

## Tax

| Type | Rate |
|------|------|
| Capital Gains (Personal) | .15% to 55% progressive income tax rate on crypto gains |
| Capital Gains (Corporate) | Approximately 30% corporate tax on crypto gains |
| VAT on Crypto | No |
| Mining Tax | Taxed as business income under corporate or personal income tax |
| Staking Tax | Taxed as miscellaneous income |
| Airdrop Tax | Taxed as miscellaneous income |

Crypto gains are taxed as income with progressive rates for individuals and corporate tax for companies. VAT does not apply to crypto transactions. Staking and airdrops are taxed as miscellaneous income.

## Licensing

| Field | Value |
|-------|-------|
| Required | Yes |
| Regulator | [[entity--jfsa|JFSA]] / JVCEA |
| Framework | Payment Services Act and Financial Instruments and Exchange Act (FIEA) |
| Ease | medium |
| Cost | N/A |
| Timeline | N/A months |

Licensing requires registration with the FSA and compliance with AML/KYC rules. The process is thorough but well-defined.

## AML / KYC

| Field | Value |
|-------|-------|
| KYC Required | Yes |
| Travel Rule | Yes |
| [[concept--fatf|FATF]] Member | No |
| FATF Status | fsrb_only |

## DeFi

**Status:** regulated

DeFi platforms fall under existing crypto regulations and must comply with licensing and AML requirements.

## Stablecoins

**Status:** regulated

Stablecoins are regulated under the Payment Services Act with requirements for issuer registration and reserve management.

## NFTs

**Status:** no_rules

No specific NFT regulation

## Mining

| Field | Value |
|-------|-------|
| Legal | Yes |
| Electricity Cost | $0.12/kWh |
| Renewable Energy | 15% |
| Climate | temperate |
| Infrastructure | excellent |

Mining is legal with moderate electricity costs and good infrastructure. Renewable energy share is modest but growing.

## Geopolitics

| Field | Value |
|-------|-------|
| Stability | very_stable |
| Sanctions | No |
| Corruption Index | 73/100 |
| Ease of Business | easy |
| Internet Freedom | free |
| Banking Access | open |

## Enforcement

Enforcement focused on unlicensed operators and consumer protection

## CBDC Status: exploring

---

*Data source: [Soken Crypto Legal Map](https://soken.io/crypto-map/). Last reviewed: 2026-04-13.*

**Sources:**
- [JFSA / JVCEA](https://www.fsa.go.jp)
- [Payment Services Act and Financial Instruments and Exchange Act (FIEA)](https://www.fsa.go.jp)