BitFlyer CEO Warns Japan’s Proposed Founder Tax Hike Will Trigger Startup Talent Exodus

BitFlyer CEO Yuzo Kano warned that Japan’s proposal to raise capital gains taxes on founders and executives — reportedly up to 80% — risks triggering a talent exodus that would hurt the country’s startup and crypto ecosystems. Kano argued founders already take low cash pay and rely on equity upside (he cited earning 4.8 million yen, ≈$33,000, after bitFlyer grew), so punitive taxation would undermine incentives to found or scale companies. Analysts and industry leaders say the move could reverse recent VC gains, push blockchain/fintech startups to more tax-friendly jurisdictions (e.g., Singapore, UAE, parts of Europe), and damp innovation and investment in Japan’s digital-asset sector. The debate frames a trade-off between revenue needs and maintaining competitiveness for entrepreneurial talent.