Cryptocurrency donations to political campaigns in Japan will not be regulated, stated politician Ms. Sanae Takaichi. This adds to Japan’s liberal stance on digital assets, potentially opening doors for new types of political funding.
Japan Sees Crypto as Economic Grey Area
Japan recognizes the existence of digital coins, but does not consider them legal tender. Regulations on political donations only affect fiat money and stock. If a political party receives crypto funds, this is perfectly legal. There is also no requirement to disclose the holdings as part of the campaign transparency laws.
Japanese politicians may thus become crypto-rich with no limitations. However, switching to fiat would possibly mean the donation falls under the rules for disclosure.
Japan is rather strict when it comes to exchanges, although the market operators were left to run trades even before becoming fully compliant. The country allows free exchanges between Japanese yen and crypto, only requiring valid local bank accounts and ID. Even the local…