Shiba Inu (SHIB) has officially secured a spot on Japan’s prestigious “Green List,” a move that could dramatically alter the crypto landscape in the country. This designation places SHIB alongside top cryptocurrencies like Bitcoin and Ethereum, offering it a privileged status that comes with potential financial benefits.
Japan’s Financial Services Agency (FSA) is currently considering a proposal that would slash the tax rate on crypto gains from a steep 55% to a much lower 20%. This tax overhaul is designed to apply to 105 pre-approved cryptocurrencies, and with SHIB now on the list, the meme coin is poised to benefit from these favorable changes. If passed, the new tax policy would make Japan’s crypto tax regime one of the most attractive among developed nations.
At present, Japanese residents must report crypto profits as miscellaneous income, subjecting them to a progressive tax rate of up to 55%. However, under the proposed reform, digital assets on the Green List, including SHIB, would instead be taxed at a flat 20% capital gains rate. This change would provide substantial savings for traders, especially those in higher tax brackets.
Green List Approval Solidifies SHIB’s Regulatory Credibility
Shiba Inu’s inclusion on the Green List is a clear signal of its increasing legitimacy in Japan’s tightly regulated crypto market. To be added to the Green List, cryptocurrencies must meet stringent criteria set by the FSA, including transparency, stability, and technological soundness. SHIB’s successful approval suggests the token is now considered a trusted asset, on par with more established cryptocurrencies.
Traders who profit from SHIB will see their tax obligations decrease significantly under the proposed 20% tax rate. For instance, a trader earning 5 million yen ($33,000) from SHIB would pay far less in taxes compared to the current 55% tax rate. This shift represents a dramatic reduction in tax burdens, providing a boost for the entire crypto community in Japan.
With global standards shifting towards more favorable crypto tax policies, Japan’s potential reforms would make it a more competitive destination for crypto investment. The FSA is expected to seek government approval for these changes by 2026, with the reforms set to take effect in April 2026.
Shiba Inu’s Green List approval positions the token for significant growth, as it benefits from a favorable tax regime and gains greater acceptance in Japan’s regulated crypto market. This move is a step forward for SHIB as it seeks to solidify its place in the global cryptocurrency ecosystem.