JAPAN PROPOSES TO INTRODUCE BITCOIN ETF IN 2028, OR TO BECOME A MAJOR SOURCE OF INFLOW OF PERSONAL FUNDS

On July 23rd, according to Japanese Economic News, Japan expects to launch bitcoin ETF as early as 2028. With the revised Financial Commodity Transactions Act placing encrypted assets within the scope of financial product regulation, the Japan Financial Agency plans to adjust the rules relating to investment trusts to allow the Fund and ETF to target encrypted assets as their main investment, with multiple regulators considering participation. The interest of Japanese institutional investors in encrypted assets is rising, and a survey by Nomura Holdings and Laser Digital shows that about 79% of institutional investors and family offices have indicated plans to invest in encrypted assets over the next three years. However, unlike the bitcoin ETF in the United States, which is driven mainly by institutional funds, the relatively limited size of institutional investors in Japan and the relatively high cash share of household financial assets, individual investor funds may become a major source. Analysis suggests that Japanese bitcoin ETF could attract up to 3 trillion yen in financial year 2028。