Japanese corporations have begun a very interesting experiment. If this experiment succeeds, it has the potential to change the future of banking and loans altogether. It so happens that a very prominent Japanese corporation is beginning to offer some loans.
The unique aspect is that these loans are secured via cryptocurrencies. The company announced that this was the first move of its kind in both traditional and crypto markets. The loans is offered in Japanese currency.
These Japanese Yen are obtained by utilizing crypto assets as collateral damages. The corporation offering this service is known as ABIC Corporation. It has begun this service from June 1 and the company is very excited about its launch of the Bitcoin loan services.
Abic Corporation is one of the established banking giant and offers variety of loan products. These loaning includes commercial loans along with real estate loans. The bank was founded in 1973 and is around for a long time.
The company is bound to accrue more and more profit especially if they decides to target the individuals. The sale of crypto assets by individuals generate miscellaneous income which is subject to progressive taxation in Japan.
The progressive taxes can go as high as 55%. The bank surely will get much higher piece of the pie on every single case. This is what drives the decision of the company to fuse the crypto assets in traditional loaning structures.
Japan is one of the most crypto friendly country around the globe. The Bitcoin and crypto assets are legal in Japan. Despite several regulatory over-reaches, the attitude of Japan towards crypto assets are much more positive than its counterparts in China and South Korea.
However all is not well given the way Japs have targeted the private altcoins including Zcash. The regulatory bodies don’t appreciate what they can’t track completely. But given the backlash against crypto all over the globe, this news is much appreciated in crypto community.