Japan's ruling Liberal Democratic Party's Web3 project team has approved a white paper laying out recommendations for growing the country’s crypto industry. The white paper proposes changes to tax regulation, including tax exclusions for companies holding tokens issued by other companies that are not going to be traded short-term, and allowing self-assessments so that investors can carry over losses for three years. It also proposes setting up a DAO law based on Japan's godo kaisha and making changes to regulations under the Companies Act and the Financial Instruments and Exchange Act. The white paper notes that large companies in Japan have shown interest in the Web3 industry, but approvals for banks and insurance companies entering the industry remain unclear. The paper also proposes public-private partnerships to formulate guidelines on legal business models for fantasy sports services and recommends the issuance of crypto visas to skilled workers.

(By Lavender Au)