According to reports from Nikkei News, the Japanese Financial Services Agency (FSA) plans to incorporate cryptocurrency tax reform into its 2026 tax revision proposal. The reform proposal includes two key parts. First, it involves amending tax laws to classify crypto assets in the same category as stocks instead of comprehensive taxation. Second, it includes a legal amendment to reclassify crypto assets as financial products, allowing the FSA to apply insider trading rules, disclosure standards, and investor protection measures under the Financial Instruments and Exchange Act. Currently, Japan taxes crypto asset gains as "miscellaneous income" at a progressive rate, which can exceed 50% once local taxes are included. In contrast, stocks and bonds are subject to a flat 20% tax.