New ETF offerings could reshape Japan’s digital asset investment landscape pending regulatory approval
SBI Holdings, one of Japan’s leading financial services groups, has laid out plans to launch the country’s first-ever Bitcoin-XRP dual cryptocurrency ETF, potentially marking a major milestone in Japan’s cautiously evolving digital asset market.
Unveiled in the company’s recent earnings report, SBI’s proposed offerings include two crypto-centric exchange-traded products. The first is a hybrid ETF trust, blending 51% exposure to gold-based ETFs and 49% to crypto assets, primarily Bitcoin. This product is expected to be publicly offered as an investment trust within Japan.
The second, and more attention-grabbing, is a dual-asset ETF tracking both Bitcoin and XRP, two of the world’s most traded cryptocurrencies. SBI plans to list this fund on the Tokyo Stock Exchange, pending clearance from Japan’s financial regulators.
“We aim to offer Japanese investors diversified and regulated exposure to digital assets within the frameworks they trust,” SBI stated in its announcement.
The ETF proposals remain subject to regulatory approval, a point SBI emphasized, signaling ongoing discussions with the Financial Services Agency (FSA). If approved, these would be the first publicly offered crypto ETFs in Japan—a country known for its strict financial oversight and cautious approach to crypto adoption.
This move aligns with broader shifts in Japan’s regulatory climate. On June 24, the FSA proposed reclassifying specific cryptocurrencies as financial products under the Financial Instruments and Exchange Act (FIEA). If adopted, this would provide a legal foundation for digital asset ETFs and potentially reduce tax burdens on crypto investors.
“Japan’s slow but steady regulatory evolution could unlock institutional demand,” noted a Tokyo-based crypto strategist. “SBI’s initiative may be the signal that the market has been waiting for.”
While no official filings have been confirmed with the FSA yet, SBI’s intention is clear: to be at the forefront of integrating crypto into Japan’s traditional financial markets.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.