Crypto ETF Race Heats Up as Japan’s JPX Targets 2027–2028 Listing Window

• JPX says crypto ETFs could launch in 2027 once Japan finalizes legal and tax reforms.
• Japan’s planned crypto tax cut would lower gains from 55% to a flat 20% rate.
• The TOPIX proposal may exclude crypto-heavy firms, raising passive fund outflow concerns.

Japan’s regulated crypto race is moving faster after Japan Exchange Group (JPX) signaled a possible 2027 start for listed crypto funds. According to Bloomberg, CEO Hiromi Yamaji said JPX will prepare listings once legal reforms and tax rules are settled.

The timeline marks a shift from earlier market expectations, which placed a Crypto ETF launch no earlier than 2028. Yamaji said asset managers have shown strong interest, giving Japan a clearer path toward regulated crypto investment products.

JPX Links ETF Push to Legal and Tax Reform

JPX first showed interest in crypto-linked products around March 2025, with a focus on attracting global capital. Yamaji’s latest remarks brought that plan forward by identifying 2027 as the earliest window.

The main hurdle, however, remains Japan’s regulatory framework. In November, the Financial Services Agency planned to classify crypto assets as financial instruments under the Financial Instruments and Exchange Act in 2026.

A separate tax reform would also change how crypto gains are treated. The plan would cut the top rate from 55% under “miscellaneous income” to a flat 20%. That rate would match Japan’s tax treatment for stocks and investment trusts.

Together, the reforms would address the legal and tax barriers highlighted by Yamaji. Several financial firms are already positioning for the shift. According to reports, Nomura Asset Management, SBI Global Asset Management, and Daiwa Asset Management have studied or prepared ETF products.

SBI Holdings also disclosed plans for a fund tracking Bitcoin and XRP. It also outlined a mixed trust, allocating 51% to gold ETFs and 49% to Bitcoin ETFs.

TOPIX Proposal Adds Pressure on Crypto Treasury Firms

While the Crypto ETF plan opens a regulated route for investors, another JPX proposal has drawn concern from crypto-heavy listed firms. Currently, JPX is seeking feedback on a rule that would exclude companies holding more than 50% of assets in crypto from TOPIX.

The consultation closes on May 7. Speaking at Bitcoin 2026, Metaplanet’s head of Bitcoin strategy, Dylan LeClair, said the rule would affect Metaplanet, Remixpoint, and ANAP Holdings during the October 2026 rebalance.

LeClair urged supporters to back a joint letter hosted by Bitcoin for Corporations before the consultation deadline. The index issue matters, as TOPIX inclusion can support passive fund flows. Exclusion can reverse those flows when index-tracking funds adjust their holdings.

A similar debate emerged in the United States after MSCI considered removing digital asset treasury companies from its Global Investable Market Indexes. JPMorgan analysts warned that removing Strategy alone could trigger about $2.8 billion in passive outflows.

Another $8.8 billion was at risk if other index providers followed. MSCI later decided not to proceed with the exclusion in its February 2026 review. For JPX, the two tracks now define Japan’s next crypto market test.

Related: Brazil Halts Crypto Use in Regulated Cross-Border Payments Under New FX Resolution