Why Japan Could Be the Next Powerhouse in Web3 Investments and Innovation

cryptonews.com:

Japan’s cabinet recently approved a bill that will open up the Web3 space to investment funds and venture capital firms in the country.

This development came barely a month after the U.S. SEC gave the green light to 11 Bitcoin Spot ETFs ; however, unlike Japan which recognized cryptocurrencies as a type of money as early as 2016, alongside leading the race in stablecoin regulatory frameworks, the U.S. is still reluctant to fully embrace the realm of Web3 innovations.

With Japan seemingly going all in, both on the regulatory front and user protection, the latest move to add crypto as a potential asset class is a game-changer for the country’s investment landscape and the Web3 startup ecosystem. 

In fact, this milestone might play a significant role in shaping the decision-making process of Web3 startups looking to change jurisdictions or launch in crypto-friendly countries.

After all, the Land of the Rising Sun has long been a leading technology hub, and its open arms approach to Web3 should come as no surprise.

So, what will be the likely impact of VCs and Investment firms in Japan finally getting access to the Web3 market? 

Of course, we cannot rule out the possibility that it may take a while before a paradigm shift is evident, but from a longer-term perspective, the approval could position Japan as a favorable jurisdiction for both VCs and Web3 startups.

For starters, more risk-on capital will gradually find its way into the Japanese Web3 startup space.

Nomura is one the big banks in Japan that has already shown interest in exposing their institutional clients to crypto assets.

Last year, the bank’s digital asset subsidiary, Laser Digital, launched a Bitcoin Adoption Fund for this purpose.

“Technology is a