Japanese lawmaker proposes easing crypto 2x leverage cap to restore market liquidity

Odaily reports that Seiji Kihara, head of the Liberal Democratic Party's "Next-Generation AI and On-Chain Finance Vision Project Team," stated that Japan's current cap of 2x leverage on cryptocurrency margin trading is too restrictive and should be relaxed. He noted that market development requires liquidity and price discovery functions, and easing regulations would help restore liquidity to Japan's crypto market and attract capital back to the country.