Takaichi Administration's Landslide Victory in the Lower House Election Raises Expectations for Cryptocurrency Tax Reform and Transition to Financial Instruments and Exchange Act

In the Lower House election held on the 8th, the Liberal Democratic Party, led by Prime Minister Sanae Takaichi, secured 316 seats, marking the largest post-war victory. By securing more than two-thirds of the seats on its own, the party has ensured stable government operations.

Following the election results, the cryptocurrency industry is keenly observing the impacts of tax reform, the transition to the Financial Instruments and Exchange Act, and aggressive fiscal policies. Had there been a change in administration, these policies might have faced setbacks, so the industry has favorably received this overwhelming victory.

Aggressive Fiscal Policy and Market Psychology

The 'responsible aggressive fiscal policy' advocated by the Takaichi administration is likely to enhance market risk preference through household support and economic downturn measures, ...