Japan Plans to Approve Crypto ETFs by 2028

Japanese financial regulators are considering easing restrictions on cryptocurrency exchange-traded funds (ETFs), potentially approving them as early as 2028. This follows significant inflows into U.S. Bitcoin #BTC and Ethereum #ETH ETFs in 2025.

Japan Reviews Rules for Crypto ETF Approval

Japan’s Financial Services Agency (FSA) plans to amend regulations, allowing cryptocurrencies as eligible ETF assets.
Institutional interest in digital assets is prompting a review of crypto-related restrictions.
Major financial groups like SBI Holdings and Nomura Holdings are preparing to explore crypto ETFs.
The reforms could lower barriers for retail investors seeking regulated exposure to digital assets.
This move aligns Japan more closely with markets like the U.S. and Hong Kong, which approved spot crypto ETFs in 2024.

Shift in Regulatory Outlook

Discussions reflect intent but not a final policy decision; no confirmed timeline from FSA yet.
Japan’s crypto ETF market could reach around 1 trillion yen ($6.4 billion), compared to the U.S.'s $150 billion market.
SBI Holdings is interested in launching a Bitcoin-XRP dual ETF and a gold-crypto product, pending regulatory approval.