Japan Lets Startups Raise VC Funding
Japan is set to allow startups to raise funding from venture capital firms through the sale of digital assets, according to a report by Nikkei. The plan is expected to be submitted to parliament next year. Traditionally, Japan’s venture capital environment is seen as conservative, with strict regulations and a risk-averse investment scene. Limited partnerships, the common vehicle for VC investment in Japan, are typically restricted to more conventional assets.
Japan’s government has announced a new rule that will expand investment options for crypto startups, including digital assets. The move comes as venture capital’s importance in Japan’s corporate landscape continues to grow. The average funding size has increased by over 390% from $65 million in 2022 to $321 million. The move follows the Japanese government’s pledge to encourage further investment in startups and other sectors to “concentrate” its human capital and money.
(With inputs from Shikha Singh)
You need to login in order to Like