Japan Is About to Unleash a Crypto Boom
A shift from fifty-five percent taxation to a flat twenty percent could transform the market.
Last episode before the weekend. Christmas is coming, and you are probably shopping, running around, seeing family, and dealing with the sudden tidal wave of invitations from people who ignored you all year. Eleven months of silence, then suddenly Friendsgiving, Friends Christmas, drinks, dinners, parties, all of it.
Anyway. Let us get into the news and get out of here.
BITCOIN ETF OUTFLOWS SPIKE
Bitcoin ETFs saw their heaviest withdrawals in two weeks.
One hundred ninety four point six million dollars exited on December 5th.
BlackRock’s IBIT alone accounted for one hundred thirteen million.
Bitcoin itself barely moved, down less than two percent, but still roughly ten percent down on the month.
Analysts say institutions are unwinding leveraged basis trades. They were buying ETF shares, shorting futures, capturing the spread. Now they are exiting. Some say the unwind is nearly complete. Others point to macro pressure, including speculation that the Bank of Japan may raise rates on December 19th.
Whenever people worry about yen carry trades unwinding, Bitcoin takes a hit. We saw this in August 2024 and February 2025. Both times it triggered a short twenty percent drop.
Another twenty percent drop would be no bueno.
But if you have dry powder, and you believe the long term story, prepare yourself.
EU OPENS ANTITRUST PROBE INTO META
The EU has opened a formal antitrust investigation into Meta over WhatsApp’s new rules which allow only Meta’s own AI chatbot while blocking all third party AI competitors.
Updated terms rolled out in October.
Third party AI companies are prohibited from offering chatbot services through the WhatsApp Business API if AI is their primary function.
Regulators argue this is exclusionary.
It obviously is.
Existing providers must comply by January 15th, 2026. New ones have already been shut out. Italy is excluded from the EU probe because its own national competition authority is already pursuing Meta for the same behavior.
Legal experts say intent does not matter. Only the exclusionary effect.
My opinion: it is their product. They built it. They maintain it. If they do not want competitors inside their ecosystem, that is their call. If you do not like it, build something else. Not everything must be open access. But the regulators are coming anyway.
IMF WARNS STABLECOINS THREATEN MONETARY CONTROL
The IMF says rapid stablecoin adoption could weaken central banks in countries with unstable currencies.
No kidding.
Where have you been.
People will always flee bad money for good money.
Stablecoins spread instantly through smartphones, they flow faster than physical dollars, and they can replace weak local currencies overnight.
If enough commerce shifts to foreign currency stablecoins, central banks lose influence over interest rates, liquidity, deposits, and the effectiveness of their own CBDCs.
Ninety seven percent of stablecoin volume is tied to the dollar. Adoption is rising in Latin America, Africa, and the Middle East.
The IMF is now recommending countries legally prevent digital assets from being recognized as official currency or legal tender.
Translation:
You are hurting our power. Stop.
CFTC APPROVES FIRST SPOT CRYPTO EXCHANGE UNDER ITS OVERSIGHT
The CFTC has approved spot crypto trading on a CFTC registered exchange for the first time ever. BitNominal launches next week.
Acting Chair Caroline Pham called it unprecedented.
Americans will finally get spot crypto trading with the same protections that govern futures markets.
BitNominal will offer leveraged spot trading alongside futures and options, something standard overseas but heavily restricted in the United States.
Institutions now have a clean regulatory wrapper for spot crypto exposure. And this comes as Congress is still debating how to split authority between the SEC and CFTC.
JAPAN SLASHING CRYPTO TAXES TO TWENTY PERCENT
Japan is preparing to cut its crypto tax rate from as high as fifty five percent down to a flat twenty percent.
This aligns crypto with stocks and other financial instruments.
If passed, Japan instantly becomes one of the most crypto friendly major economies. They were extremely strict after Mt. Gox and Coincheck. Now the environment has shifted. Stablecoins, institutional products, and innovation are being welcomed again.
Japan has massive retail participation in equities and FX. Crypto has lagged because of punishing tax rules. Lowering the rate could unleash a wave of new investors.
GOLD AND SILVER SURGE WHILE BITCOIN COOLS
Gold is up eighty six percent year over year.
Silver is up sixty percent.
Bitcoin is slightly negative heading into the December 10th Federal Reserve meeting.
Markets are worried about a potential policy error.
If the Fed cuts rates while inflation remains sticky around three percent, hard asset demand could explode even further.
Stocks are still climbing on earnings strength and AI driven spending.
Jason brought up an important point about inflation.
Sixty nine thousand dollar Bitcoin from the last cycle is equivalent to roughly eighty three thousand dollars today.
If Bitcoin is at ninety thousand today, you have truly only gained about six thousand dollars in real purchasing power. Inflation ate the rest.
This matters.
Keep it in mind when comparing cycles.
CRYPTO PRICES
The time is 9:52 a.m. Eastern Standard Time.
Fear and Greed is at 25, which is fearful.
RSI is 44 and oversold.
Bitcoin: 90,162 dollars
Ethereum: 3,100 dollars
XRP: 2.06 dollars
BNB: 886 dollars
Solana: 134.82 dollars
USDC: Number 6
TRON: 0.284 dollars
Dogecoin: 0.142 dollars
Cardano: 0.424 dollars
Total Market Cap: 3.08 trillion dollars
Bitcoin: 1.8 trillion dollars
Ethereum: 374.4 billion dollars
That is the show.
My name is Matt.
Kyle or myself will see you on Monday.
Happy HODLing, Everyone.
References & Affiliates
📈 The Grow Me Co: Trading Business Webinar
🛠️ The Grow Me Co: Trading Course
📉 Bitcoin ETFs Shed $194 Million, Highest Outflow in Two Weeks
🇪🇺 EU Opens Antitrust Probe Into Meta’s New AI Policy and WhatsApp Data Practices
💱 IMF Warns Stablecoin Adoption Could Undermine Central Bank Control
⚖️ CFTC Approves Spot Crypto Trading on Bitnomial Exchange
🇯🇵 Japan Considers New Crypto Tax Rules to Attract Retail Investors
🥇 Precious Metals Soar While Bitcoin Stalls as Investors Hedge Against Fed Policy Error
Self-Custody Crypto Roth IRA: athenic.xyz
Use Code DCN for $30 off: DCN
Where to Find DCN:
🌐 DailyCryptoNews.net
🐦 twitter.com/DCNDailyCrypto
📈 Trader Cobb on X
🌿 The Grow Me Co
Disclaimer
This content is not financial, legal, or tax advice. It reflects personal opinions for educational and entertainment purposes only.
I am not a financial advisor or expert, and I do not guarantee any specific outcome.
Always do your own research before making any investment or financial decisions.
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