The former swimmer continued her remarkable career with her 11th cycling gold.
Storey matched former swimmer Mike Kenny’s career gold haul in claiming victory on the Fuji International Speedway Circuit in a time of 36:08.90.
“I never set out on this journey to be Britain’s greatest Paralympian, but to match the best man and to have more other medals is just a dream come true – well, it is almost a dream that was not one,” she said.
“Sweet 16!! Can I be 16 again?”
Fellow GB rider Crystal Lane-Wright snatched silver in 37:40.89.
Storey must wait until Thursday’s C4-5 road race for a chance to fully surpass 76-year-old Kenny, she is now already more successful owing to a total haul of 27 medals to his 18.
“That is something that may happen in the future – it may happen on Thursday,” she said of reaching 17 golds.
“Who knows in a road race?”
Picture of the day
Social media moment
In the foothills of Mount Fuji Dame Sarah Storey won her 16th gold medal, on the same circuit where British Formula One driver James Hunt clinched the 1976 World Championship.
Figure of the day
What’s coming up?
On the track, Games veteran David Weir will go for a third career gold in the 1500m, and European champion Columba Blango is in the 400m final, while Olivia Breen will bid for long jump success.