Japan is taking its first real steps toward spot cryptocurrency exchange-traded funds, with regulators now openly considering whether digital assets should be eligible for ETF products.
According to a Nikkei report published Monday, Japan’s Financial Services Agency (FSA) is weighing changes that could allow the country to approve its first spot crypto ETFs as early as 2028. If that happens, it would mark a major shift in policy and effectively end Japan’s long-standing ban on spot crypto ETFs.
While the timeline still stretches several years out, the move signals growing acceptance of crypto within Japan’s traditional financial system. As recently as August 2025, a KPMG Japan executive said a Bitcoin ETF launch was unlikely before 2027, underscoring how cautious regulators have been.
Investor Demand Is Building
Pressure to open the door to crypto ETFs appears to be coming from investors themselves. Hajime Ikeda, executive officer at Nomura Holdings, previously pointed to survey data showing that more than 60% of Japanese investors are interested in gaining exposure to crypto assets “in some form or another.”
Allowing spot crypto ETFs would give those investors a regulated, familiar way to access digital assets — without having to navigate exchanges or custody crypto directly.
Nomura and SBI Ready to Lead
Behind the scenes, major financial players are already preparing. The Nikkei report notes that Nomura Holdings, Japan’s largest asset manager, and SBI Holdings, one of the country’s biggest financial services groups, have been developing crypto ETF products that are now waiting for regulatory approval to list on the Tokyo Stock Exchange.
If approved, these ETFs would let investors trade cryptocurrencies much like stocks or gold ETFs, bringing digital assets further into the mainstream.
SBI has been especially vocal about its plans. Last year, the firm confirmed it intends to launch XRP-focused ETFs once regulators give the green light. In an August presentation, SBI outlined two proposed products: a Gold and Crypto Assets ETF, with up to 49% allocated to Bitcoin, and a Bitcoin and XRP ETF offering exposure to both tokens.
Japan Watches Global Markets Closely
Japan’s potential move follows similar developments abroad. The U.S. and Hong Kong both approved their first spot crypto ETFs in 2024, giving regulators in Tokyo a clearer roadmap — and increasing pressure not to fall behind.
That sentiment has also been echoed at the government level. Japan’s Finance Minister Satsuki Katayama recently described 2026 as the country’s “digital year,” voicing support for integrating crypto trading into stock exchanges.
Speaking to Japanese crypto outlet Coinpost, Katayama pointed to how crypto ETFs have gained traction in Western markets.
“In the U.S., through ETF structures, they have spread as a means of hedging against inflation, and similar efforts are expected in Japan,” she said.
While 2028 may still feel distant, the direction of travel is becoming clearer: Japan is cautiously but steadily moving toward bringing crypto ETFs into its financial mainstream.
