Nikolai Timofejev
15 years in FinTech and payments. Maps your business model to the right licence scope and leads the file all the way to the FSA registration, including banking and payment rails.
Get a crypto license in Japan.
The world's most disciplined crypto regime is mid-upgrade: FSA registration under the Payment Services Act is the gateway today, yen stablecoins are live, and the reform moving crypto under the securities law went to the Diet in 2026. We build files that clear the bar.
27 yrs
on the international marketon the market
60+
in-house specialistsspecialists
400+
Crypto licenses obtainedlicenses obtained
Updated
Japan in brief
The strictest desk in Asia - and the most trusted.
Japan licenses crypto through registration as a Crypto-Asset Exchange Service Provider under the Payment Services Act - supervised by the Financial Services Agency through the Local Finance Bureaux, with mandatory membership of the JVCEA self-regulatory body. The regime was hardened by experience: client crypto sits at least 95% in cold storage, client fiat in trust, systems face continuous audit, and the FSA published fresh cybersecurity expectations for exchange providers as recently as April 2026. Roughly thirty firms hold the registration; the bar is why a Japanese licence is read globally as the industry's strictest quality mark.
The regime is now mid-upgrade. After its April 2025 discussion paper and an autumn 2025 working group at the Financial System Council, the FSA advanced the reform that moves crypto-assets under the Financial Instruments and Exchange Act - bringing insider-trading rules and securities-grade disclosure - with the bill submitted to the Diet in 2026. The tax system is slated to follow: the ruling coalition's programme ties a flat ~20% separate taxation for individuals to the FIEA reclassification, replacing today's progressive rates of up to 55%. Meanwhile the 2023 stablecoin framework is producing results - Japan approved its first yen stablecoin issuer in 2025. Files built now are built for both regimes.
The strictest desk on earth: FSA registration under the PSA - 95%+ cold storage, trust-held fiat, ~30 registered firms - now upgrading to the FIEA with insider rules.
Yen stablecoins live since 2025; a flat ~20% investor tax tied to the reform. Files built now convert.
The framework
Registered today - ready for the FIEA tomorrow.
The Payment Services Act registration is the operating licence today; the FIEA reform defines where the regime is heading. We build the file against both. Same governance, deeper disclosure.
PSA registration is the licence today; the FIEA bill defines tomorrow. We build for both.
01 - PSA REGISTRATION
Crypto-Asset Exchange Service Provider
The core registration for exchange, brokerage and custody of crypto-assets serving Japanese clients. FSA-supervised, JVCEA-membered, and famously thorough.
The core registration for exchange, brokerage and custody of crypto-assets serving Japanese clients. FSA-supervised, JVCEA-membered, and famously thorough.
- ✓Crypto ↔ yen and crypto ↔ crypto exchange
- ✓Custody with 95%+ cold-storage requirement
- ✓Client fiat held in trust - by statute
- ✓JVCEA membership and coin-listing review
- ✓Kanto/Local Finance Bureau supervision
- ✓6-12+ months of screening in practice
02 - STABLECOINS & THE REFORM
FIEA bill - Diet 2026Yen stablecoins · FIEA future
The 2023 framework opened Electronic Payment Instruments - trust-type stablecoins. With the first yen issuer approved in 2025. The FIEA bill adds insider-trading rules and securities-grade oversight.
EPI stablecoins. First yen issuer approved 2025 - plus the FIEA's securities-grade future.
- ✓EPI issuance - banks, trusts, funds-transfer firms
- ✓First yen stablecoin approved in 2025
- ✓Intermediary licences for distribution
- ✓FIEA reform - disclosure and insider rules
- ✓~20% flat investor tax slated post-reform
- ✓We build 2026 files that convert cleanly
Costs and timelines are confirmed for your case before any work begins. FSA screening is documentation-heavy and interview-driven; capital (JPY 10 million minimum plus positive net assets), systems and staffing are scoped individually in your quote.
Why Japan
The hardest stamp is the most valuable one.
The framework rests on the Payment Services Act. Soon the FIEA. Supervised by the FSA, in the market that defined crypto discipline.
✓
The world's strictest quality mark
Post-Mt.Gox, post-Coincheck rules made Japan the global benchmark: 95%+ cold storage, trust-held fiat, continuous audit. A registration here is read as proof of operational excellence everywhere.95% cold storage; trust fiat. The global benchmark.
✓
A market that rewards patience
The world's third-largest economy with deep retail brokerage culture and institutional money warming to digital assets. The licensed few serve a market the unlicensed cannot touch.3rd-largest economy, deep retail culture.
✓
Yen stablecoins are live
The 2023 Electronic Payment Instruments framework produced its first approved yen stablecoin issuer in 2025. Payments, settlement and tokenisation rails are opening in the world's third currency.First issuer approved in 2025.
✓
The FIEA upgrade is coming
The reform bill. Insider-trading rules, securities-grade disclosure. Went to the Diet in 2026, with a flat ~20% investor tax tied to it. Early files convert; latecomers queue.Insider rules + ~20% tax. In the Diet.
✓
JVCEA - structured self-regulation
Coin listings, advertising and conduct run through the self-regulatory body. Predictable, documented, and navigable with the right preparation. We prepare exactly that.Predictable listings and conduct.
✓
Fresh supervisory clarity
The FSA keeps publishing. Cybersecurity expectations in April 2026, screening handbooks, transaction-threshold analysis. What the regulator wants is public; the craft is delivering it.Cyber policies Apr 2026. The bar is knowable.
How it compares
How Japan differs from other routes.
Japan is the discipline play: the slowest of the Asian desks and the most respected. The side-by-side comparison is below.
Japan vs other jurisdictions
| Feature |  Japan | Other jurisdictions |
|---|---|---|
| Regulatory regime | FSA registration - PSA → FIEA | Licensing regimes, lighter files |
| Custody standard | 95%+ cold storage, trust fiat | Varies - often principles-only |
| Screening | 6-12+ months, interview-driven | 3-9 months typical |
| Market | 3rd-largest economy, deep retail | Smaller or offshore-facing |
Regulatory regime
JapanFSA registration - PSA → FIEA
Other jurisdictionsLicensing regimes, lighter files
Custody standard
Japan95%+ cold storage, trust fiat
Other jurisdictionsVaries - often principles-only
Screening
Japan6-12+ months, interview-driven
Other jurisdictions3-9 months typical
Market
Japan3rd-largest economy, deep retail
Other jurisdictionsSmaller or offshore-facing
Country by country
| Country | License type | Taxation | Requirements |
|---|---|---|---|
| Japan | CAESP registration (FSA) | ~30% corp · to 55% personal* | Strictest custody bar in crypto |
 Hong Kong | SFC VATP licence | 16.5% · no CGT | HK$5M capital, 98% cold storage |
 Singapore | MAS licences (PSA/FSM) | 17% CIT · no CGT | 9-12+ months, selective |
 USA | FinCEN MSB + state MTLs | 21% federal + state | State-by-state stack |
JapanLicense typeCAESP registration (FSA)
Taxation~30% corp · to 55% personal*
RequirementsStrictest custody bar in crypto
Hong KongLicense typeSFC VATP licence
Taxation16.5% · no CGT
RequirementsHK$5M capital, 98% cold storage
SingaporeLicense typeMAS licences (PSA/FSM)
Taxation17% CIT · no CGT
Requirements9-12+ months, selective
USALicense typeFinCEN MSB + state MTLs
Taxation21% federal + state
RequirementsState-by-state stack
Before you apply
Requirements for FSA registration.Requirements for FSA registration.
The FSA screens with questionnaires, document rounds and interviews. The deepest file in Asia. The checklist below is what a passing application contains.
01
Japanese entity. A KK (stock company) with a domestic office; foreign firms register through a Japanese subsidiary.
02
Capital. JPY 10 million minimum plus positive net assets; realistic capitalisation far above the floor.
03
Governance. Directors and compliance officers with financial-industry experience, resident and interviewable.
04
Cold storage. At least 95% of client crypto in cold wallets, with documented key ceremonies and controls.
05
Trust-held fiat. Client money in trust with a Japanese bank or trust company, by statute.
06
Segregation and audit. Client-asset segregation verified by external audit, plus systems audits.
07
JVCEA membership. Self-regulatory admission, coin-listing procedures and advertising compliance.
08
AML/CFT. KYC, monitoring, travel-rule compliance and reporting per FSA and JAFIC standards.
09
Systems and cybersecurity. Architecture meeting the FSA's published expectations, including the April 2026 cybersecurity policies.
10
Business plan. Realistic volumes, unit economics and staffing the FSA can interrogate in Japanese.
11
For the reform: FIEA-readiness. Disclosure and market-conduct frameworks built in from day one.
01
Japanese KK with domestic office.
02
JPY 10M capital + positive net assets.
03
Resident, interviewable management.
04
95%+ cold storage with key controls.
05
Client fiat in trust - by statute.
06
External segregation audits.
07
JVCEA membership and listing files.
08
FSA/JAFIC-grade AML and travel rule.
09
Systems per published cyber policies.
10
FIEA-ready disclosure from day one.
Reflects the Payment Services Act, FSA guidelines and JVCEA rules as of 2026. The FIEA reform bill is before the Diet. We track it and build files that convert.PSA + FSA guidelines as of 2026; FIEA bill before the Diet.
How it works
From first call to the FSA register.
01
Perimeter and strategy
Exchange, custody, stablecoin or intermediary. We fix the scope, the entity plan and the realistic timeline in writing.Scope, entity, realistic timeline - in writing.
02
Japanese company and people
KK formation, resident directors and compliance hires with financial-industry records. The people the FSA interviews.KK + resident, interviewable hires.
03
The registration file
FSA questionnaires, business plan, systems and custody documentation, AML framework. Assembled to published expectations.To published FSA expectations.
04
FSA screening and JVCEA
Document rounds and interviews over 6-12+ months, with self-regulatory admission in parallel. We manage both tracks.6-12+ months, both tracks managed.
05
Registration and operation
Entry in the FSA's register, launch under supervision, and FIEA-conversion readiness as the reform lands.Register entry; FIEA-ready.
Quick facts
RegulatorFSA · Finance Bureau
FrameworkPSA · FIEA bill 2026
Minimum capitalJPY 10M + net assets
Cold storage95%+ of client crypto
Client fiatHeld in trust
In practice6-12+ months
Registered firms~30
SROJVCEA membership
The FSA publishes what it expects. Screening handbooks, guidelines, cybersecurity policies. Files built to the published bar clear it.
On the ground in Japan
Run from our Tokyo office.
Prifinance - Japan
Tokyo · Japan
Tokyo, Japan
01
Japanese company formation
KK incorporation, registered office and the governance layer the FSA expects. Structured with local counsel for the registration.KK with local counsel, built for screening.
02
The registration file
Questionnaire rounds, business plan, systems documentation and AML pack. Drafted with Japanese specialists and defended through FSA interviews.Questionnaires and interviews - managed.
03
JVCEA and listings
Self-regulatory admission, coin-listing files and advertising compliance. The second gate most applicants underestimate.The second gate, prepared together.
04
Stablecoin and reform strategy
EPI issuance and intermediary routes, plus FIEA-conversion planning - scoped alongside the core registration.EPI routes + FIEA conversion.
We also have offices in
Tallinn
Estonia
Roseni 13
Vilnius
Lithuania
Gedimino pr. 2
Prague
Czech Republic
Vlkova 532/8, Žižkov
London
United Kingdom
7 Bell Yard
Madeira
Portugal
Rua da Alegria 31, 1F
Budapest
Hungary
Korányi Sándor u. 4
Istanbul
Turkey
Perpa Ticaret Merkezi, A Blok
Good to know
Taxation of crypto companies in Japan.
Corporate rates are ordinary; the personal regime is the famous outlier, and the reform tied to the FIEA bill would transform it.
~30% effective corporate rate
National corporation tax plus local levies land around 30% effective. Ordinary deductions apply, and recent reforms eased mark-to-market taxation of certain long-held token positions.Ordinary deductions; treasury rules eased.
Individuals today: up to 55%
Personal crypto gains are miscellaneous income at progressive rates. Up to 45% national plus 10% local. The number that pushed a generation of Japanese traders offshore.Miscellaneous income, progressive.
The 20% reform - tied to FIEA
The ruling coalition's programme ties a flat ~20% separate taxation for crypto to the FIEA reclassification now before the Diet. The single biggest potential unlock in Japanese crypto.Tied to the bill before the Diet.
Consumption tax
Crypto-asset transfers are exempt from consumption tax; the 10% rate touches ordinary supplies and services.10% only on ordinary supplies.
Corporate holdings eased
Reforms in 2023-24 exempted qualifying third-party-issued tokens from year-end mark-to-market when held under transfer restrictions. Treasury structures breathe easier.2023-24 reforms for held tokens.
Reporting is institutional
Exchange providers report under established frameworks, with CARF alignment following the international calendar. Clean books are assumed here, not requested.CARF on the international calendar.
Tax summary
Corporate (effective)~30%
Personal (today)to 55% progressive
Personal (reform)~20% flat - post-FIEA
Consumption tax on cryptoExempt
Standard consumption tax10%
Tax treaties70+
*As of 2026, pending the FIEA-linked reform. Corporate token-holding rules changed favourably in 2023-24. We model treasury positions under current law.
Turnkey professional support
Experienced lawyers and international consultants.
We provide end-to-end support, from company registration and the application file to regulatory interaction and compliance oversight - with an individualized approach to each client.
Oleksii Kindratenko
Builds the application itself: Japanese KK, AML/KYC policy pack, capital structure and tax registrations. His document sets are the reason reviews finish in months, not years.
Eugeniu Bevziuc
First point of contact for international founders. Runs the whole setup remotely, across time zones and languages - from the first call to a live, FSA-registered business.
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Japan · FSA
Launch your crypto project in Japan with expert support.
Full-service assistance - from KK registration to FSA screening and ongoing compliance.
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Is Japan the right fit for your project?
Our legal team will analyze your case at no cost and provide a written legal opinion: which jurisdiction, licence scope, or route fits your business.
Written assessment within 2-5 business days
Request a free conclusion →FAQ
The Japanese crypto licence: the practical answers.
What licence does a crypto business need in Japan?+
Registration as a Crypto-Asset Exchange Service Provider under the Payment Services Act - required for exchange, brokerage and custody serving Japanese clients, supervised by the FSA through the Local Finance Bureaux with mandatory JVCEA membership.
Why is the Japanese bar considered the world's strictest?+
Statutory custody rules born of hard experience: at least 95% of client crypto in cold storage, client fiat in trust with a bank or trust company, external audits of segregation, and screening that runs on questionnaires and interviews. Roughly thirty firms have cleared it.
How long does registration take?+
Realistically 6-12+ months of document rounds and interviews, plus JVCEA admission in parallel. The FSA publishes its expectations - including fresh cybersecurity policies in April 2026, so the bar is knowable; the craft is meeting it.
What is the FIEA reform?+
The bill moving crypto-assets from the Payment Services Act into the Financial Instruments and Exchange Act - adding insider-trading rules and securities-grade disclosure - submitted to the Diet in 2026 after the FSA's 2025 review. Files built now are structured to convert.
What happens to taxes under the reform?+
The ruling coalition's tax programme ties a flat ~20% separate taxation for individuals to the FIEA reclassification - replacing today's progressive rates of up to 55%. It is the most consequential pending change in Japanese crypto.
Can foreign companies register?+
Through a Japanese subsidiary - a KK with resident, interviewable management and real domestic substance. Several global exchanges operate exactly this way; we structure the entity and the people plan.
How do yen stablecoins work?+
The 2023 framework created Electronic Payment Instruments - stablecoins issued by banks, trust structures and funds-transfer providers, and Japan approved its first yen stablecoin issuer in 2025. Issuance and intermediary licences are scoped separately from the exchange registration.
How are companies taxed?+
Around 30% effective corporate rate with ordinary deductions; crypto transfers are consumption-tax exempt. The 2023-24 reforms removed year-end mark-to-market for qualifying third-party token holdings.
What role does the JVCEA play?+
The self-regulatory association handles coin-listing review, advertising standards and conduct rules - membership is mandatory and its processes are a second gate alongside FSA screening. We prepare both files together.
Why Japan rather than Hong Kong or Singapore?+
Singapore is selective, Hong Kong is fast-moving - Japan is the deepest domestic market of the three with the hardest, most respected stamp. Groups building for a decade take Japan; groups needing speed start elsewhere and add it. We sequence deliberately.
What licence is needed?+
FSA CAESP registration under the PSA + JVCEA.
Why the strictest?+
95% cold storage, trust fiat, audits, interviews.
How long?+
6-12+ months; the bar is published.
The FIEA reform?+
Insider rules + disclosure - bill in the Diet 2026.
Taxes under reform?+
~20% flat tied to reclassification.
Foreign companies?+
Via a Japanese KK with resident management.
Stablecoins?+
EPI framework; first yen issuer 2025.
Company taxes?+
~30% effective; consumption-tax exempt.
JVCEA?+
Mandatory SRO - listings and conduct.
Japan vs HK/SG?+
Deepest market, hardest stamp - sequence deliberately.
Client notes
Google4.7★★★★★
Founders who wanted it done right.
Google4.7★★★★★
“As a software development crew at FewMoreTaps OÜ, we've had the pleasure of working with Prifinance on some key financial moves.First of all, navigating the world of corporate banking and finance can be a maze, but Prifinance made it feel like a walk in the park. They helped us set up a corporate bank account without the hassle of jumping on a plane or drowning in paperwork. Everything was done remotely, smoothly…”
Google
“I had their assistance in company registration and I would recommend them. They were answering all my clarification during the process and offering all their supportThank you Daniel and Irinia”
Google
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Get a free legal opinion on your project - our legal team will analyze your case at no cost and provide a written legal opinion: which jurisdiction, licence scope, or route fits your business.Free legal opinion: which Japanese route fits your project and what it will cost.
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Prifinance is an independent law and advisory firm. We are not a regulator and are not affiliated with, endorsed by, or acting on behalf of the Financial Services Agency of Japan or any other public authority. Authorisations are granted by, and obtained directly from, the competent authorities.