Kei Oda is the head of Japan and the Asia-Pacific region for Quantstamp, a Web3 security firm that audits smart contracts and develops blockchain security solutions.
Kei spent 16 years trading bonds at Goldman Sachs before stumbling into cryptocurrencies out of boredom. He tells Magazine he was induced by the ability to trade Bitcoin and other assets around the clock.
He has since fallen down the rabbit hole, even finding a job in the industry.
1. How did you get involved in crypto?
So, I was actually a bond trader for 16 years before joining crypto.
You know, we used to talk about Bitcoin when I was still trading bonds. I didn’t really understand it or believe in it, to be honest, but when I left my job in 2016 and tried to get into the startup space, what dawned on me once I left was that, having been a trader, you do have a long-term focus, but you also are very, very short-term in terms of how you trade, what you do day to day, minute to minute, and what ended up happening was, I would get bored very easily.
Essentially, my attention span became like a goldfish, and that was what working in finance kind of did to me. And so, I started trading Bitcoin.
Initially, it was simply to pass the time. And then, once I started researching Bitcoin, obviously, I thought the value proposition was extremely compelling.
And as part of that journey, I of course fell down the rabbit hole and started looking at crypto in general and specific assets like Ethereum, and it just sounded like a crazy, crazy proposition. You know, if it succeeds, obviously we’re talking about something that could be game-changing.
2. What do you think of the current Japanese crypto ecosystem?
I think that Japan has a pretty vibrant ecosystem, especially right now. It’s taken a while, but if you look at the trajectory of what Japan has gone through as a whole (the Mt.Gox and CoinCheck hacks, etc.), it has become very progressive.
In one sense, you know, allowing Bitcoin to be kind of used as currency, not obviously as an official currency or government currency, but it is an accepted payment method, and it’s actually legal to use it.
I think another kind of sector that seems to be quite exciting, at least for Japanese financial firms, is security tokens. I think that’s something that people are looking at. Security tokens globally — I don’t really hear that much about, [but] there are quite a few companies looking at them here in Japan.
It almost feels like the Japanese crypto blockchain ecosystem has broken off a little bit from the rest of the world, or at least the cycles seem to be a little bit displaced in the sense that we’re starting to see very good interest and decent activity from big companies in Japan. Whereas I think that that probably happened a little bit earlier in other markets and has now kind of subsided.
3. What has held the Japanese crypto scene back?
I think at the bottom of it all is taxation. Taxation is still not very friendly here in Japan.
What the old regulation used to be is that if your Japanese startup issued a token here in Japan and you sold half of it to Japanese investors or the Japanese community, then you would have to pay tax on the revenue that you realized by selling tokens. But you would also have to pay tax on the 50% that you hadn’t sold.
It’s even worse for personal taxes. In Japan, profits on crypto trading are taxed as extra-ordinary income, which can be as much as 55%. It’s not super friendly.
Now, if you compare that to Singapore, the basic tax rate is much, much lower at around 20% or something. Hong Kong, I think, is something similar. Dubai obviously has zero income tax. So, you’re talking about a pretty big difference financially for startup founders and entrepreneurs.
4. Do you think more companies will start setting up in Japan instead of opting for other Asian hubs?
The Japanese government is trying to be very progressive and forward-thinking about Web3.
They’re trying to be very active in getting talent to stay in Japan and also to come to Japan.
For example, the government is planning digital nomad visas. And I think that is going to be great for people who earn in other currencies and come to Japan, just because the yen has become so much more attractive (weakening against the United States dollar).
Japan is also attractive because there is a big market here, and there is a big market size that startups can capture here.
The Japanese crypto scene is quite active. However, what I find is that, when you go to a Japanese meet-up, there is a long presentation that you have to sit through. And at the end, they give you five to 10 minutes to try and network.
But you know — excuse my language — it’s kind of a shitshow.
So, what I did was help to create an event [Tokyo Blockchain Night] where there’s no presentation — no one’s trying to sell anything.
It’s simply like-minded people being able to have a drink and talk about crypto and look for investors, engineers, etc., or just make friends.
I think it’s something that helps people and goes along with the whole kind of ethos we have at Quantstamp, which is that we help people and pay it forward, and hopefully, something comes back to us.
6. How did contagion from collapses like FTX impact the Japanese market?
The way FTX essentially blew up is kind of interesting in that FTX had a Japanese subsidiary; they bought a Japanese exchange called Liquid.
And because the regulations around asset custody in Japan were much stricter, FTX Japan wasn’t able to commingle funds or anything like that. So, actually, the Japanese entity was fully liquid and solvent. To the point where, if you were a Japanese customer of FTX, you essentially either have or will get all of your money back.
Whereas if you’re a client of FTX International, I don’t know what the update is there, but it’s not looking that promising.
I think the Japanese regulations that came in after the CoinCheck hack were probably much more strict than other jurisdictions; however, as a result of that, we’re now seeing an uptick in Japanese activity, to the point where the MUFG, the world’s biggest banking conglomerate in Japan, is going to launch stablecoins.
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Brian Quarmby
Brian Quarmby discovered crypto in 2013 and instantly fell in love with the idea of decentralization. Brian has since lived and worked Asia and returned to Melbourne in late 2019. Brian is a lover of sport and art and is bullish on the potential for NFTs to transform artists lives in the near future.
Farmers forced the prime minister to cut short a visit to a housing development as they drove tractors to the site in a protest against changes to inheritance tax.
Sir Keir Starmer was in Buckinghamshire to announce more than 100 new towns could be built under the government’s plans for the “largest house building programme since the post-war era”.
As he spoke to workers at a housing development in Milton Keynes, a group of farmers gathered in about a dozen tractors outside the site.
They sounded musical horns, disrupting the announcement shortly after Sir Keir arrived.
The prime minister cut the visit short following the protest, driving off before he was set to do media interviews.
Image: Farmers stage a demonstration during Prime Minister Keir Starmer’s visit to a housing development in Buckinghamshire. Pic: PA
Image: Pic: PA
Farmers have staged several protests since the October budget, when the government introduced a 20% inheritance tax on farms worth more than £1m from April 2026.
They have accused the government of failing to listen to them and said the tax will mean some will have to sell off land or their entire farms to pay for it, which could affect food production.
Image: The prime minister was still in high-vis clothing when he returned to Downing Street. Pic: PA
Sir Keir later said his government had made a “political choice” to grow the economy and bring NHS waiting lists down instead of maintaining “the tax break for farmers”.
“People watching this will understand that that is a choice. They will know what they would prefer,” he said.
“Do they want their waiting lists to come down, do they want their mortgages to come down, the economy to start working for everyone?
“That is what we are trying to achieve.
“Or do we want to give tax breaks for farmers? We can’t have both.”
Image: Keir Starmer cut short his visit to a housing development in Buckinghamshire. Pic: PA
Farmer Phillip Weston told Sky News’ Dan Whitehead at the protest: “He’s not coming to us to talk, so we’re coming to him.”
As Sir Keir was driven away from the site, farmers could be heard shouting “just talk to us”.
Farmer Richard Miles, who travelled from Welford, Northamptonshire, said: “We are not being listened to at all, that’s why we feel we have to come and see him in person.”
A “loophole” that allowed a Palestinian family to be granted the right to come to the UK under a Ukrainian resettlement scheme was the subject of a lot of debate in the House of Commons today.
Both the prime minister and leader of the opposition criticised a decision by a judge to allow the family of six the right to enter the UK.
Sir Keir pledged to close the “loophole” after he was asked about it by Kemi Badenoch – but could not elaborate on what it was.
Sky News has read through the judgment given by Judge Hugo Norton-Taylor to understand what happened.
The family of six, a husband and wife and their children aged 18, 17, eight and seven, lived in Gaza and their homes were destroyed after the 7 October attacks and subsequent conflict.
They ended up living in a humanitarian zone and then a refugee camp.
In January 2024, the family applied to come to the UK via the Ukraine Family Scheme form, in a bid to join one of the parent’s brothers, who is a British citizen and has lived in the UK since 2007.
While they acknowledged they were not eligible for the Ukraine scheme, the family chose to apply in an attempt to use the Home Office‘s policy on “applications for entry clearance outside the rules”.
The Home Office rejected the request, saying they were not satisfied there were “compelling, compassionate circumstances” to justify a request outside the rules.
They also noted the lack of a resettlement scheme for Palestinians.
Despite the Home Office saying there were no grounds to appeal, the family launched one against the decision on human rights grounds.
A judge then ruled that the initial rejection constituted a rejection of human rights, and so allowed an appeal.
Part of this appeal was under Article Eight of the European Convention on Human Rights – the right to a family life between the man living in Britain and his family in Gaza.
This appeal was rejected, with a lack of a Palestinian resettlement scheme noted as a reason.
An appeal was launched at a higher tribunal – and one of the arguments was that the case should be considered on its own merits and not allow the lack of a Palestinian resettlement scheme to outweigh other arguments.
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8:44
PMQs: War on immigration
The loophole
It is here that the “loophole” seems to have appeared.
At this point. Judge Norton-Taylor heard the case and allowed the appeal.
In his judgment, he stated that it was “wrong to have taken the absence of a resettlement scheme into account at all”.
The judge added that there was “no evidence” he had seen that the Home Office had made a deliberate decision not to implement a Palestinian resettlement scheme.
He also noted that the lack of immigration rules on a topic should not count against someone.
In layman’s terms, the argument seems to be that just because a scheme to resettle people does not exist it does not mean they are banned from coming to the UK via humanitarian routes.
The judgment said the absence of a “resettlement scheme was irrelevant” to their decision.
What next?
Judge Norton-Taylor went on to back the claim from the family in Gaza based on the ECHR and the right to a family life between them and their relative in Britain.
A Home Office spokesperson said: “The Ukraine Family scheme was clearly set out for Ukrainians. We have been clear that we do not agree with this judgment and we twice vigorously contested this case.
“As the prime minister made clear, article 8, the right to a family life, should be interpreted much more narrowly. It is for the government and Parliament to decide who should be covered by the UK’s safe and legal routes.
“We are pursuing all legal avenues to address the legal loophole which has been exploited in this case. The home secretary is urgently reviewing this case to ensure the correct processes are always followed and existing laws correctly interpreted.”
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They added that there was no evidence to support the argument and that data from the government shows a “very small” number of Gazans have been allowed to enter the UK – equal to roughly 150.
Sir Keir said he was planning to close the loophole, but it is not clear what this will entail.
The bill “would make our state the first to establish a Strategic Bitcoin Reserve and drive innovation, growth, and financial freedom,” said Senator Schwertner.