What will happen to Japan's Web 3.0 policy? Special discussion between LDP's "Shiozaki Akihisa x Kawasaki Hideto"

How do you both feel about the current state of Japan's Web3.0 sector?

Akihisa Shiozaki: Honestly, I feel it has grown tremendously. It's akin to the transition from being a college student to entering the workforce.

We were elected for the first time in 2021, and our initial project was Web3.0. After our election, the following year, Mr. Hirai suddenly announced, 'Let's start an NFT project team!' and even Kasumigaseki was like, 'What's an NFT?' at that time (laughs).

Back then, we started by understanding how to utilize blockchain technology, then identified and organized key issues, and gradually, the term Web3.0 became commonly used among Diet members. Later, we began working on tax reforms, and both the LDP's Digital Society Promotion Headquarters and the Financial Affairs Committee started dealing with it, eventually making Web3.0 a national strategy. I truly feel we've reached a different stage over these four years.

Hideato Kawasaki: Particularly, our policy initiatives played a significant role. By positioning it as a national strategy, players who were previously hesitant about engaging with Web3.0 have gained confidence. This has significantly boosted the momentum, especially among the youth.

Shiozaki: In the meantime, we have been involved in various policy areas. For instance, I currently serve as the Vice Minister of Health, Labour and Welfare, and Mr. Kawasaki is the Vice Minister of Internal Affairs and Communications. Despite this, our commitment to the Web3.0 sector remains strong. Normally, the field is crowded with veteran, influential politicians, and there's little room for first-term members, but Web3.0 was a completely blue ocean. Now, the industry has grown, more politicians are involved, and public interest has increased. It's quite moving.

You described the evolution of Japan's Web3.0 as akin to 'from a college student to a working adult.' How mature do you think it has become?

Shiozaki: In a word, it's probably at the level of an assistant manager in a company?

Currently, there is a significant and progressive shift of cryptocurrencies from the Payment Services Act to the Financial Instruments and Exchange Act. Previously, the sector attracted young, novelty-seeking individuals who, despite the risks, enjoyed the newness. Now, it's moving towards being recognized as a new asset class, aiming for transparency, investor protection, and separate taxation. So, it's at a level where one seriously considers their career path, akin to that of an assistant manager. Of course, there's still room for growth.

Kawasaki: When we started, even attempting to open a bank account for DAO or Web3.0-related businesses was impossible due to lack of trust. But in recent years, you can write 'Web3.0' as your business content and open bank accounts and receive funding. It's not an exaggeration to say that Web3.0 has grown from being underage to an adult, as minors can't open bank accounts.

Shiozaki: Indeed. We had to say, 'We're also doing other solid businesses,' to finally get a bank account. It feels like we're finally standing on our own feet.