Japan’s largest investment managers are actively developing cryptocurrency-linked financial products, poised to enter the market as regulators consider a significant overhaul of laws governing digital assets.
Six prominent investment managers in the country are currently establishing frameworks for future crypto trusts. This proactive industry movement coincides with a governmental review that could reclassify digital assets under new financial instruments laws.
The Financial Services Agency (FSA) is evaluating a shift that would allow cryptocurrencies to be included in investment trusts, a practice currently prohibited. This change would open regulated access for both retail and institutional investors to these products.
According to reports, the FSA could approve these proposed changes during the 2026 parliamentary session. Following this, the Investment Trust Act would need to be modified to facilitate the creation of crypto-based trusts.
SBI Global Asset Management, one of the firms involved, plans to launch exchange-traded funds (ETFs) based on Bitcoin and Ethereum. The firm also aims to develop diversified crypto trusts, targeting approximately $32 billion in assets under management within three years of product launch.
Nomura Asset Management has also confirmed its readiness. The company has dedicated teams and systems prepared to operate crypto products as soon as regulatory approvals are granted.
Mitsubishi UFJ Asset Management, a subsidiary of Mitsubishi UFJ Financial Group with an estimated $2.7 trillion in assets, has engaged in blockchain projects, including a stablecoin interoperability system. This positions the firm favorably for future tokenized markets.
Daiwa Asset Management, which reported approximately $213 billion in assets under management as of March 2024, has also expressed interest in offering cryptocurrency products. Asset Management One and Amova Asset Management are likewise investigating their participation in the evolving market.
All participating managers intend to offer these instruments to both retail and institutional clients once a definitive legal framework is established. The potential regulatory reform also aligns with a government plan to apply a flat 20% tax on crypto gains, similar to the taxation of stocks and bonds.
This strategic shift reflects Japan’s broader effort to maintain international competitiveness in the rapidly developing digital asset sector. The introduction of regulated crypto trusts is expected to significantly expand domestic market participation and attract greater capital flow into the country’s digital economy.