At the WebX 2025 conference's cross-border regulatory panel, hosted by Backpack co-founder Can Sun, the panel interviewed representatives from Japan, Taiwan, and the United States to discuss their respective countries' progress in crypto asset regulation and their perspectives on future international developments.
Japan leads the way in tax reform, ushering in a major turning point in crypto asset regulation
Akihisa Shiozaki, Deputy Secretary-General of the Liberal Democratic Party of Japan, revealed plans for major changes in Japan's digital asset regulation. He stated that Japan is preparing to shift crypto assets from the Fund Settlement Act to the Financial Instruments and Exchange Act, regulating them not as securities but as a new asset class. The core goal of this reform is to optimize the tax system by shifting cryptocurrency transactions from comprehensive income tax to capital gains tax, significantly reducing the tax burden on investors.
Akihisa Shiozaki emphasized that Japan has always adhered to the philosophy of "strictly supervising custody and anti-money laundering, but remaining open to innovation" in digital asset regulation.
He noted that while Japan was criticized for being overly conservative following the 2014 Mt. Gox incident and the subsequent Coincheck hack, it was precisely these strict regulatory measures that enabled Japanese investors to be among the first group of customers globally to fully recover their funds following the collapse of FTX last year. With Prime Minister Shigeru Ishiba and other ministers appearing in support at the WebX conference, the Japanese government's positive stance toward the Web3 industry has become even more clear.
Further reading
WebX2025) Shigeru Ishiba: Web3 is boosting local revitalization, with 9,000 new startups added in just four years!
Japan Must Not Fall Behind! Minister: From Anime to Tax Reform, We Will Fully Promote Web3
Taiwan is moving from self-regulation to legislation, accelerating the legalization of digital assets.
During the discussion, KMT legislator Ge Rujun shared Taiwan's unique regulatory evolution. He explained that Taiwan demonstrated an openness to blockchain technology as early as 2013-2016, when Bitcoin could even be purchased at FamilyMart convenience stores. However, the government's regulatory approach remained relatively conservative, adopting a gradual regulatory approach that began with self-regulatory organizations.
Ge Rujun explained that the Taiwan Financial Supervisory Commission initially established an anti-money laundering whitelist system, which initially included nearly 30 companies. However, after rigorous due diligence, only eight companies remain on the list. The Legislative Yuan is currently reviewing a draft of the "Virtual Asset Service Provider Act," with legislators from various political parties working to ensure that the bill protects users and the market while not being overly restrictive towards overseas companies.
In terms of taxation, Taiwan has not yet defined crypto assets as an independent asset class and still treats them according to personal or corporate income tax. However, with the promotion of the Trump administration's digital asset policy, Taiwan's legislative process is expected to accelerate significantly.
Further reading
WebX2025) Ge Rujun: Taiwan's Cryptocurrency Law Will Be Read for the Third Time as Early as 2026; Hong Kong Industry Shares Stablecoin Sandbox
Taiwan's exchanges are also helping to combat fraud! The Financial Supervisory Commission plans to include VASPs in its anti-fraud notice, linking cryptocurrency flows with financial flows.
Breaking News) The Financial Supervisory Commission has removed four virtual asset operators, leaving only eight compliant VASPs!
US policy takes a U-turn, with the Trump administration pushing for a "crypto capital" vision
Caroline D. Pham, Acting Chair of the U.S. Commodity Futures Trading Commission (CFTC), described the dramatic shift in digital asset policy since the Trump administration took office.
She stated that from day one, the new administration has demonstrated tremendous optimism and momentum in embracing innovation, not just in digital financial technology, but across all areas of digital technology. President Trump's executive order established the Digital Asset Markets Task Force and mandated the development of a roadmap for making the United States the "global crypto capital."
Pham emphasized that the most significant change under the new administration is the elimination of past regulatory turf wars and cumbersome interdepartmental meetings. All regulators are now "one team, one vision," working together to achieve U.S. crypto leadership. The working group meets twice a week, demonstrating unprecedented policy implementation efficiency. She specifically cited the administration's "run, don't walk" policy approach as symbolic of its comprehensive support for crypto innovation.
Further reading
A new era of crypto regulation is upon us! SEC and CFTC representatives have been announced, and their impact will be felt.
A new era of crypto regulation! CFTC streamlines its enforcement team and aligns its strategy with the SEC.
Regulation and innovation go hand in hand? CFTC Sandbox program launched, inviting four major crypto giants to discuss the future
Cross-border cooperation is key, and the three parties' regulatory experiences complement each other and make progress together
The three panelists agreed that with the global development of the digital asset market, coordination and cooperation among regulatory frameworks of various countries have become crucial.
Japan's strict trusteeship system, Taiwan's incremental legislative model, and the United States' innovation-friendly policy each have their own advantages and reference value.
Akihisa Shiozaki said that regulatory predictability and transparency will be key to developing the digital economy;
Ge Rujun stressed the importance of learning from the experiences of various countries;
Pham demonstrated the United States' determination and efficiency in policy implementation.
Global digital asset regulation stands at a critical turning point, with governments worldwide seeking to strike a balance between investor protection and innovation. With a significant shift in US policy, progress in Japan's tax reforms, and accelerated legislative progress in Taiwan, 2025 is expected to be a pivotal year in reshuffling the global Web3 regulatory framework.
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"WebX2025) US CFTC reveals Web3 policy philosophy: Run, don't walk!" This article was originally published on "Crypto City"
