Tax reform is essential for Japan’s push to funnel ¥10 trillion of investment into startups every year, according to the head of a ruling party group supporting emerging high-growth firms.

The government is set to put together a five-year plan by the end of 2022 that will seek to increase money going to startups tenfold, according to proposals from the ruling Liberal Democratic Party.

The plan should include revisions to crypto-related taxation, as well as an update on stock option rules and levies on angel investment, according to Takuya Hirai, who sees Japan’s startup ecosystem as lagging behind those of other countries. Venture capital also has a key role to play, he added.