Published & Updated: January 26, 2026 | Tapbit Japan & Asia Regulatory Desk
Japan’s Financial Services Agency (FSA) is moving forward with plans to allow spot cryptocurrency ETFs by 2028 through amendments to the Investment Trust and Investment Corporation Act. The landmark shift will classify crypto as a “specified asset” eligible for trust structures, enabling regulated Bitcoin (and potentially altcoin) ETFs to list on the Tokyo Stock Exchange (TSE) and be distributed via major brokerages such as SBI, Nomura, Rakuten, and others. Alongside the ETF opening, the government is expected to reduce the capital gains tax rate on crypto from the current 55% (miscellaneous income) to a flat 20% — aligning it with stocks and removing one of the biggest barriers for Japanese retail and institutional participation. This guide explains the regulatory timeline, tax benefits, expected products, risks, and how Japanese traders can gain an edge today on Tapbit with zero spot trading fees, JPY-friendly pairs, and up to 125x leveraged BTC/JPY perpetuals — positioning ahead of the 2028 ETF wave.
Japan ETF Opening 2028 – Executive Summary
- FSA targets spot Bitcoin ETF approval via Investment Trust Act amendments by 2028
- Crypto reclassified as “specified asset” — eligible for trust and fund structures
- Capital gains tax cut from 55% → 20% flat rate (expected 2028 implementation)
- Major players preparing: SBI, Nomura, Rakuten Securities already exploring products
- Tokyo Stock Exchange to list approved ETFs; retail access through standard brokerage accounts
- Post-2024 DMM Bitcoin hack → mandatory bank-grade custody & enhanced security rules
- Tapbit advantage for Japanese traders today: 0% maker fees, fast JPY deposits, BTC/JPY pairs & high-leverage futures
Japan’s Regulatory Shift Explained – Timeline & Key Milestones
Japan has been progressively building a crypto-friendly framework since the 2017 Payment Services Act recognized Bitcoin as legal property. The 2028 ETF opening represents the next major step:
- 2024–2025: FSA studies global ETF models (US spot BTC ETFs, Hong Kong dual-class approvals)
- Q2–Q3 2026: Enforcement Ordinance amendments proposed → crypto as “specified asset”
- 2027: SBI Securities, Nomura Asset Management file first ETF trust structures
- Early–Mid 2028: First spot BTC ETFs launch on TSE; tax reform enacted
- Post-2028: Potential altcoin ETFs (ETH, SOL) subject to liquidity & custody criteria
The move mirrors Hong Kong (2024) and aims to recapture capital that has flowed to overseas exchanges due to high taxes and limited domestic products.
Tax Benefits: From 55% to 20% – What It Means for Japanese Traders
Current crypto gains in Japan are taxed as miscellaneous income at progressive rates up to 55% (including local taxes), discouraging long-term holding. The planned reform:
- Reduces rate to flat 20% (same as listed stocks & ETFs)
- Eliminates complexity of declaring every trade
- Expected to unlock trillions of yen currently sidelined or moved offshore
- Applies to both spot & ETF gains (post-implementation)
Tapbit advantage now: Traders can accumulate BTC at 0% maker fees today and hold until tax treatment improves in 2028–2029.
Expected Products & Access for Japanese Investors
Post-approval structure will resemble existing gold & stock ETFs:
- Physical-backed spot BTC ETFs (custody by licensed trust banks)
- Distributed via SBI, Rakuten, Nomura, Monex, Matsui, and other brokerages
- Tradable on Tokyo Stock Exchange (TSE) during market hours
- Lower fees & no need for personal wallet management
- Potential futures-based or synthetic ETFs in phase 2
Retail Japanese investors will gain easy, regulated exposure without KYC hassles on overseas platforms or self-custody risks.
Risks & Considerations Before 2028
- Timeline slippage possible (FSA historically cautious post-Mt.Gox & DMM hacks)
- Initial ETFs may be BTC-only; altcoins delayed due to liquidity concerns
- Tax reform not guaranteed — subject to Diet approval
- Global regulatory divergence: US/EU ETF momentum could pull capital away if Japan lags
- Market risk: Crypto volatility remains high regardless of ETF approval
Implementation Timeline & Action Plan
| Milestone | Expected Date | Recommended Action on Tapbit |
|---|---|---|
| FSA amendment proposal | Q2–Q3 2026 | Start DCA BTC/JPY on weakness |
| SBI/Nomura ETF filings | 2027 | Increase position size; add leveraged longs on news |
| First ETF listings | Early–Mid 2028 | Arbitrage spot vs futures; scale into ETF proxies |
| Tax reform effective | Mid-2028 | Realize gains tax-efficiently |
Conclusion
Japan’s planned 2028 spot crypto ETF approval and reduction of capital gains tax from 55% to 20% represent one of the most significant regulatory tailwinds for Japanese investors in years. By reclassifying crypto as eligible “specified assets” and enabling TSE-listed products through major brokerages, the FSA is removing barriers that have historically driven capital offshore. The next 2–3 years offer a clear window to build exposure ahead of institutional flows. Stay informed, size positions prudently, and trade responsibly as Japan’s crypto framework matures.
Start trading BTC today on Tapbit – 0% maker fees & JPY deposits supported:
Disclaimer: This article is for informational purposes only and does not constitute investment, legal, tax or financial advice. Cryptocurrency markets and regulations are highly volatile and subject to change. Tax treatment depends on individual circumstances and may be revised. Always consult qualified professionals for your specific situation and never invest more than you can afford to lose completely.
