The Japanese government has approved a proposal to add cryptocurrencies to the list of assets that local investment limited partnerships can acquire or hold, the Ministry of Economy, Trade and Industry announced on February 16.
The ministry said on Friday advertisement That the approved revision contains amendments to Law to enhance industrial competitiveness, would expand strategic investment to provide support to local startups and medium-sized companies. This revision would allow venture capital firms to invest in projects that only issue cryptocurrencies, local news outlet Coinpost reported. mentioned on saturday.
The ministry said in the statement that after approval by the Council of Ministers, the draft law was submitted to the legislative body and will be discussed.
Limited partnerships In Japan it often serves the purpose of investing in unlisted companies, which has become a common practice for venture capitalists to invest in startups, according to local media. Coinpost.
“Under Japanese rules until now, venture capital firms have not been able to invest in crypto assets,” Hiro Kunimitsu, founder and CEO of Gumi Inc., wrote in an article. Share X. Gumi is a Japanese game development company that has launched its own blockchain venture fund, Gumi Cryptos Capital.
Kunimitsu explained in his post on X that Japanese cryptocurrency projects had to obtain capital from foreign venture capitals, which was a major obstacle to funding. “I think the fact that Japanese venture capital firms can now invest will be a big opportunity for many Web3 startups in Japan,” Kunimitsu said.
Under the Prime Minister Fumio Kishida A policy of “new capitalism”, Japan is pushing to develop its own Web 3 industry. In December, the Japanese Cabinet approved this Review its tax system It could exclude companies from paying taxes on unrealized gains from cryptocurrencies.
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