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Japan’s FSA weighs treating crypto as securities to pave way for ETFs: report

Japan's Financial Services Agency (FSA) is reportedly considering classifying cryptocurrencies as financial products similar to securities. The FSA has begun closed-door discussions with experts to review existing regulations and plans to announce a policy direction by June. If cryptocurrencies are treated as securities, it could make things harder for retail investors but potentially open the door for spot crypto ETFs in Japan. The FSA is debating whether to apply existing securities laws or introduce new rules, and whether the regulations would apply to all cryptocurrencies or only major ones like Bitcoin and Ethereum. This potential move towards crypto-friendly regulation in Japan could also attract the attention of major venture capital firms.

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