Former Goldman Sachs bond trader, Kei Oda, now head of Japan and the Asia-Pacific region for Quantstamp, a Web3 security firm, shares his journey down the rabbit hole into the blockchain space. Attracted to the ceaseless opportunities of trading Bitcoin and other cryptos, Oda moved into the nascent sector for its compelling value proposition. His journey spotlighted Ethereum, which offered a potentially revolutionary proposition if successful.
Today, Oda regards the Japanese crypto ecosystem as vibrant, despite earlier setbacks like the Mt.Gox and CoinCheck hacks. The country has embraced Bitcoin, not as an official but as a legal payment method. While the global focus on security tokens seems to wane, Japan shows an upward trend in it, indicative of its distinctive crypto blockchain environment.
Yet, unjust taxation has hobbled the Japanese crypto scene. Japanese startups are taxed exorbitantly not only for sold tokens but the unsold as well. This is a stark contrast to other crypto-friendly nations like Singapore and Hong Kong, with their comparatively lower and attractive basic tax rates. Thus, the tax differences cast a sizable financial burden on startup founders and entrepreneurs.
On the upside, attempts are underway to lure international talent to Japan, with digital nomad visas. A weaker yen against the US Dollar coupled with a large market mass make Japan an attractive choice for startups.
Oda also played a role in fostering the local crypto community bur the expansive Japanese crypto scene faced challenges in networking. Consequently, Oda helped organize Tokyo Blockchain Night, an event fostering interaction between crypto enthusiasts, potential investors, and engineers without burdening them with any presentations or sales pitches.
Finally, reflecting on effects of the collapse of FTX, Oda observes the stringent Japanese regulations on asset custody, resulted in a full solvency of FTX’s Japanese entity. This balance in regulating crypto activities has inspired confidence in entities like MUFG, Japan’s largest banking conglomerate, to consider launching their stablecoins. Ultimately, the journey through crypto’s intricacies might be worth it as this digital financial frontier continues to unfold.
Source: Cointelegraph
