Japan’s Biggest Brokerages Open a New Door for Bitcoin and Ethereum Investment

Japan’s largest online brokerages are moving into digital assets. SBI Securities and Rakuten Securities are building in-house Bitcoin and Ethereum investment trusts for retail customers.

The shift could reshape how millions of Japanese investors reach crypto. Here is what the plan involves and why it matters now.

SBI and Rakuten Are Building In-House Bitcoin and Ethereum Bitcoin Investment Trusts in Japan

A crypto investment trust is a regulated fund that holds digital assets like Bitcoin, letting investors buy units instead of the coins themselves.

Today, most Japanese users still need a separate exchange account or wallet to buy crypto directly.

According to Nikkei, these trusts remove that friction. Investors could gain Bitcoin and Ethereum exposure through brokerage accounts they already use for stocks, bonds and funds. The product would feel closer to buying a mutual fund than trading on an exchange.

SBI Securities plans to sell products developed by group company SBI Global Asset Management. That firm is targeting roughly ¥5 trillion yen (nearly $32 billion), in assets within three years of launch.

SBI intends to manage the full chain internally, from product design to distribution.

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Rakuten Securities is following a similar path through Rakuten Investment Management. The company wants customers to trade these products directly inside its smartphone apps, matching how retail crypto activity already works.

Both groups already run licensed exchanges, so the infrastructure and regulatory relationships are largely in place.

The momentum reflects clearer rules ahead. In a Nikkei survey of 18 firms, 11 others, including Nomura, Daiwa and Mizuho Securities, said they would consider entering once the regulatory framework is finished.

That response shows broad interest from TradFi, even before the rules are complete.

Nomura and Daiwa have signaled plans to develop crypto trusts once the framework becomes clear. SMBC Group has formed a task force, while Asset Management One under Mizuho has started early research.

Japan’s Financial Services Agency is driving this change. It is reportedly weighing rules that would let investment trusts and exchange-traded funds hold crypto under the Investment Trust Act.

Spot crypto ETFs could be approved by 2028, with analysts estimating the market could reach around 6.4 billion dollars.

The reform connects to a wider policy shift. Japan recently reclassified crypto as a financial instrument, adding stronger market rules.

Those include annual disclosure requirements and insider trading restrictions, which bring digital assets closer to regulated securities.

What This Means for Investors and the Market

The timing follows a global pattern. Spot Bitcoin ETFs launched in the United States in early 2024, and those funds now hold tens of billions of dollars in assets. Hong Kong added its own Bitcoin and Ethereum products soon after.

Japan now wants to bring crypto closer to its mainstream wealth management industry.

For retail investors, that means familiar protections around custody, disclosure and reporting, handled through regulated financial groups they already trust.

The benefits are practical. Millions of people who already hold SBI or Rakuten accounts could add Bitcoin or Ethereum exposure without new signups.

There is no learning curve around exchanges and no anxiety about security breaches on unfamiliar platforms.

The trade-off is real, too. Holding units in a trust means investors do not own the Bitcoin directly.

That structure adds management fees and counterparty considerations that do not exist with direct ownership.

Fees will be a key factor to watch. In the United States, competition among ETF issuers drove costs down quickly and boosted adoption.

How the FSA responds to filings, and what fees SBI and Rakuten attach, could shape how fast Japanese investors move in.