SBI, Rakuten, Nomura race to launch crypto investment trusts in Japan

Japan's largest brokerages are racing to launch crypto investment trusts for retail investors, as regulators move to formally allow crypto-holding funds by 2028.

SBI Securities and Rakuten Securities are already developing crypto investment trusts in-house, while Nomura, Daiwa, and SMBC are preparing to follow suit, according to a report. The move signals a major shift in Japan's approach to digital assets, as traditional financial institutions seek to tap into growing retail demand for crypto exposure.

For cryptocurrency and digital asset traders, the development could open a new channel for institutional and retail capital to flow into the market. Investment trusts, similar to exchange-traded funds, provide a regulated vehicle for investors to gain exposure to crypto without directly holding the assets. This could boost liquidity and price stability for major cryptocurrencies like Bitcoin and Ethereum. For current pricing context, check NowPrice's crypto page.

The race to launch these products comes as Japan's Financial Services Agency prepares to amend regulations to allow investment trusts to hold crypto assets by 2028. Market participants will watch for further details on the regulatory framework, including custody requirements and investor protections, which could set a precedent for other Asian markets.