Some Businesses Feel Japan’s High Tax Rates are Driving Crypto Businesses Away
It turns out that entrepreneurs are leaving Japan in droves, as the island nation is exercising stringent taxation on codes that work within the crypto sector. Sota Watanabe, CEO of a web3 infrastructure firm, Stake Technologies, is frustrated by these fresh government policies that hamper any growth in this niche space in tech.
Watanabe points out that “at least 20 or more firms have opted to establish their crypto business abroad rather than Japan because of the high levy.” In 2020 Watanabe moved his company to Singapore as he acknowledged that the corporate taxes in Japan were crippling any chances of success he and his company may have in the future.
He does share that if these policies are rolled back, he would likely return this home. Watanabe said, “it may take a few more years before Japan lowers income taxes for cryptocurrency gains made by individual investors.”
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