Deep Tide TechFlow news: On July 23, Nikkei reported that Japan is expected to launch a Bitcoin ETF as early as 2028. With the amended Financial Instruments and Exchange Act bringing crypto assets under regulation as financial products, Japan’s Financial Services Agency is considering adjusting rules for investment trusts to allow funds and ETFs to treat crypto assets as their primary investment target. Multiple asset management firms are already assessing the possibility of participating.

The investigation shows that Japanese institutional investors’ interest in allocating to crypto assets is rising. However, given that the size of domestic institutional funds is relatively limited and cash makes up a high share of residents’ financial assets, the market expects that the main incremental funding for Japan’s Bitcoin ETF in fiscal year 2028 could be as high as or attract about 3 trillion yen in inflows.