Rich pay up for things to stay that way.
We, on the other hand, are just prey for them in a regulatory sense.

I do think it would work out - however, it just makes it all very inconvenient for the enthusiasts in Japan, unfortunately.
There will be ways around the problem, however, they would be temporary, if there would be even more changes that would affect the taxes.

I hope for the state of affairs for you currently - but it may change one day in a blink of an eye 
Who knows what these fellas in their think tanks are thinking regarding crypto in the future to come.

It's a difficult endeavour, I know.
Because declaring holdings is a dynamic process. Since you use Bitcoin for payments and you generate more addresses, it's difficult to keep up with all of them.
Declaring profit/loss on the other hand, is also difficult, because in order to have "profit" you must compare buy price versus sell price.

It's not even a smart move because there are more and more countries with a positive approach to bitcoin, and main one now is going to be the USA because finally, with Trump, the democrats are done going against bitcoin. The countries that keep taxing and taxing bitcoin will simply lose a ton of revenues because people either won't declare or will move abroad so instead of getting 40% they will get 0%.

Japan is known for its protectionist nature towards their economy and banking, and that might be the reason why they impose high taxes on Bitcoin. Simply put, they just don’t want Bitcoin adoption to increase in their country and with the high taxes it will discourage their people from trading Bitcoin. I think that’s their only way to control Bitcoin in their country and make it not grow too much, it’s funny to see that but it’s a classic weapon used by the government to limit Bitcoin adoption.

Not for me, since I don’t report. But for countries where people are required to report and enforcement is very strict, I don’t think it’s as complicated as we might imagine. Tax agencies (or whatever they’re called in those countries) would usually provide clear guidelines to follow. They wouldn’t implement a law without ensuring there’s a process in place to make compliance straightforward for taxpayers.

This is yet a place where crypto isn't regulated, just wow! The more I look at this proposition the more I see it as a way to make citizens not to be interested into crypto, the government is like since we can't tell them to stop buying Bitcoin and they want it by all means, use the tax to discourage, when you tell them to pay more of what they earned, they will not be interested in buying Bitcoin again, this is where I see where this is going, just discouragement.

Now that everyone want Bitcoin adoption in their country, I hope they will be very ready for anything that comes later, this is what they want and this is what they want to do. The funny part about the governments receiving these taxes of Bitcoin is they are not holding, they are selling them and dumping them on the market to get the actual usd they use to do their thing and let the people continue to speculate on the future.

LOL. I assume they did it to catch illegal crypto users. They did not want to allow cryptocurrency in their country, but they were forced to do so because they had to follow what the entire world was doing. So they allowed cryptocurrency and made a rule so no one can use cryptocurrency. I have heard a couple of times from my locals that we are happy that crypto is banned here. I guess I have said that somewhere as well. I would say, it is better to keep it illegal than making it legal and charging 110% tax on it.