“The reform would enable banks to trade cryptocurrencies similarly to stocks and bonds, with regulations to ensure stability.”, — write: www.coindesk.com
The system will allow banks to trade cryptocurrencies in the same way as stocks and government bonds, while implementing certain regulations to ensure their financial stability.
The FSA is also considering registering banking groups as “cryptocurrency exchange operators,” enabling them to offer trading and exchange services, a move aimed at easing the process of investing by involving credible banking groups.
The upcoming working group meeting of the Financial Services Council, an advisory body to the Prime Minister, is set to discuss the new reform.
The plan is consistent with the growing adoption of digital assets worldwide, including the US and marks a shift away from the 2020 guideline that barred local banks from acquiring cryptocurrencies for investment purposes.
Japan’s growing openness to cryptocurrencies comes at a critical time as the country grapples with an exceptionally high debt-to-GDP ratio of 240%.
This unsustainable debt level is expected to prompt financial repression measures, such as low interest rates, high inflation and increased regulation, to manage the debt burden. In this context, cryptocurrencies could emerge as attractive escape valves for investors seeking alternatives to traditional financial systems.

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ETH hit fresh highs while bitcoin cooled, as investors chased DeFi, altcoins, and tokenized assets. CoinGecko calls it a defining market shift.
- Ethereum (ETH) led crypto’s Q3 rally as investors shifted focus from bitcoin to altcoins, DeFi, and tokenized assets.
- The crypto market added over $500 billion in value, marking its second consecutive quarter of growth, largely without bitcoin at the forefront.
- CoinGecko’s report highlights a broader reshaping of investor interest, with Ethereum gaining ground and new on-chain financial products gaining traction.
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