Japan's Major Wealth Managers Prepare Crypto Trusts Ahead of 2026 Regulatory Overhaul

Major Japanese wealth management firms are actively developing the nation's first cryptocurrency investment trusts, a proactive move anticipated to coincide with comprehensive regulatory reforms from the Financial Services Agency (FSA). These changes are expected to be finalized during the 2026 ordinary parliamentary session. A survey conducted in November 2025 identified six key institutions, including Daiwa Asset Management, Asset Management One, Amova Asset Management, and Mitsubishi UFJ Asset Management, as currently designing or evaluating these new digital asset products.

The regulatory harmonization hinges on reclassifying digital assets from the Payment Services Act framework to the Financial Instruments and Exchange Act (FIEA). This shift will permit the inclusion of these assets in investment trusts following amendments to the Investment Trust Act. A critical component for stimulating domestic participation is the proposed overhaul of the tax code, which seeks to reduce the maximum tax on digital asset gains from the current 55 percent to a flat 20 percent, aligning it with the rate applied to traditional equities. Market participants view this tax relief as a necessary incentive to redirect household savings into investment vehicles, supporting a long-term policy objective.

This coordinated development aligns with Japan's broader strategic goal to accelerate its Web3 initiatives and establish itself as a competitive digital asset hub within Asia. SBI Global Asset Management is spearheading product preparation, concurrently developing both Bitcoin and Ether Exchange-Traded Funds (ETFs) alongside diversified crypto investment trusts. SBI Global Asset Management has set a target to manage ¥5 trillion, approximately $32 billion, in assets within the first three years following the launch. In preparation, Nomura Asset Management has established dedicated internal task forces to refine its product strategies for immediate deployment once regulatory approval is secured.

Firms face operational complexities that require resolution, including establishing reliable pricing benchmarks, securing adequate market access for asset acquisition corresponding to investor inflows, and implementing stringent custody and cybersecurity protocols to manage inherent market volatility. This legislative momentum is occurring alongside other infrastructure developments. The FSA is simultaneously considering new rules mandating that crypto custody services be provided only by registered entities, a response partly prompted by security concerns following the 2024 DMM Bitcoin hacking incident, which resulted in the loss of $312 million in Bitcoin via an outsourced provider.

Signaling broader institutional readiness, three major banks—MUFG Bank, SMBC, and Mizuho Bank—received FSA backing in November 2025 to pilot a yen-backed stablecoin under the Payment Innovation Project. This comprehensive approach, which integrates digital assets into securities law, reforms taxation, and tightens infrastructure oversight, positions Japan to decisively legitimize and capture value from the evolving digital asset economy.