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Japan is poised to greenlight its first set of crypto exchange-traded funds as early as 2028, according to a Nikkei Asia report.
The Financial Services Agency is planning to include cryptocurrencies in the list of base assets for ETFs, alongside enhanced investor protection measures, Nikkei reported.
Nomura Holdings and SBI Holdings — two of Japan’s largest financial institutions — are expected to launch the country’s first crypto ETFs for listing on the Tokyo Stock Exchange, the report said.
The development follows the major success of crypto ETFs in the U.S., where spot bitcoin ETFs have accumulated $115.8 billion in net assets — approximately 6.5% of bitcoin’s total market capitalization.
The launch of U.S. crypto ETFs has broadened institutional access to bitcoin and other digital assets, drawing participation from pension funds, family offices and university endowments, including Harvard’s.
U.S. regulators have recently streamlined the listing process for digital asset products, prompting issuers to file for a wider variety of ETFs based on smaller altcoins. Spot ETFs for XRP, Solana, Dogecoin, Chainlink, Litecoin, and Hedera launched late 2025 as a result, with more products expected to debut this year.
Neighbors
Japan’s neighboring markets have already moved to replicate the success of U.S. crypto ETFs.
Hong Kong launched its own set of crypto ETFs in 2024, with funds providing exposure to bitcoin, ether, and Solana. Unlike their U.S. counterparts, the city’s ETFs permit in-kind subscriptions and redemptions, allowing investors to trade the underlying assets directly for ETF shares.
South Korean authorities and lawmakers are currently working on a digital asset regulatory framework known as the Digital Asset Basic Act, which is expected to lay the groundwork for the country’s first spot crypto ETFs. The final version of the legislation is anticipated in the first quarter of this year.
These three major Asian financial hubs share another critical objective: integrating regulated stablecoins into the mainstream financial system.
Last year, Japan approved its first yen-pegged stablecoin, while Hong Kong is expected to grant its first licenses under the stablecoin issuer regime this quarter. South Korea aims to establish a Korean won stablecoin market with the upcoming legislation.
