Catenaa, Friday, August 29, 2025- Japanese investors may need to wait until the spring of 2027 to access a domestic Bitcoin exchange-traded fund, according to Kenji Hoki, head of KPMG Japan’s web3 and fintech division.
Hoki made the comments at the WebX2025 summit in Tokyo, highlighting legal and regulatory hurdles under the Investment Trust Act and supervisory guidelines that currently limit direct crypto exposure for ETFs.
Japanese regulators could propose lifting the ban on Bitcoin ETFs in early 2026 through tax reform, with potential legislative approval by March or April that year.
Even so, Hoki noted that fast-tracking via government ordinance amendments could allow earlier access, possibly as soon as 2026, but industry consensus and legal limitations remain obstacles.
Speakers at the summit stressed that Japan risks falling behind the US, Singapore, and Hong Kong in crypto ETF adoption.
Tomoya Asakura, CEO of SBI Global Asset Management, suggested a practical solution could involve allowing Japanese investors to access foreign Bitcoin ETFs within local investment trusts, pending regulatory adjustments.
The session also underscored rising domestic demand for crypto exposure. Hajime Ikeda of Nomura Holdings cited surveys showing more than 60% of Japanese investors express interest in crypto investments.
Finance Minister Katsunobu Kato acknowledged volatility risks but indicated that structured investment options could help mitigate potential losses while broadening market participation.
