The Japanese Cabinet has approved a new proposal to allow VC companies to directly invest in cryptocurrency and Web3 companies

ChainCatcher news, February 19, according to Coinpost, the Japanese Ministry of Economy, Trade and Industry announced on February 16 that the Japanese Cabinet has approved a proposal to add cryptocurrencies to the list of assets that local investment limited partnerships can acquire or hold.

If the amendment to the law is realized, Japanese venture capital (VC) will be able to invest in projects that only issue virtual currencies, lowering the threshold for Japanese Web3 companies to raise funds and conduct business.

Previously, Japanese venture capital firms were unable to invest directly in crypto assets. The Japanese government is expected to submit the draft amendment to the LPS law to the National Diet as early as 2024.