Japan's major brokerages are preparing to bring crypto investment trusts to retail investors, with SBI Securities and Rakuten Securities already developing products in-house, while others like Nomura plan to enter the space as regulations are finalized. The move marks a significant shift in how ordinary Japanese investors access crypto. Currently, buying digital assets requires opening a dedicated exchange account or setting up a wallet. Investment trusts would allow crypto exposure through existing securities accounts, removing a key barrier for retail participation. This development follows Japan's reclassification of crypto assets as financial instruments under an amended Financial Instruments and Exchange Act, bringing them under the same regulatory umbrella as stocks and bonds.
## SBI and Rakuten Lead Product Development
SBI Securities plans to sell funds developed by group company SBI Global Asset Management, with products spanning both ETFs and investment trusts focused on liquid assets like Bitcoin and Ethereum, according to reporting by Nikkei. The group intends to handle everything from product development to distribution in-house.
Rakuten Securities is taking a similar approach, working with Rakuten Investment Management to build products tradeable directly through smartphone apps.
## Broader Industry Movement
Among larger names, Nomura and Daiwa have both announced plans to develop crypto investment trusts within their respective groups. SMBC Group, including SMBC Nikko, has set up a cross-group task force to evaluate its options. Asset Management One, under Mizuho Financial Group, has begun preliminary exploration of crypto investment trust opportunities.
## Regulatory Timeline
Japan's Financial Services Agency is moving to revise the enforcement order of the Investment Trust Act by 2028, which would formally add cryptocurrencies to the list of specified assets investment trusts can hold. Last month, Japan formally reclassified crypto assets as financial instruments under an amended Financial Instruments and Exchange Act. The bill is expected to take effect in fiscal 2027.
## Crypto ETF Developments
Japan is reportedly considering rule changes that could allow crypto ETFs as early as 2028, with major financial groups including Nomura Holdings and SBI Holdings among the first expected to develop such products. SBI Holdings has already outlined plans for a Bitcoin-XRP dual ETF and a gold-crypto ETF, pending regulatory approval.
