Japanese financial giant SBI Holdings has announced its plans to launch Japan's first dual-asset cryptocurrency exchange-traded fund (ETF), offering exposure to both Bitcoin and XRP. The company unveiled the plan in its recent earnings report. The move highlights SBI's confidence in XRP and its utility in the evolving digital economy.
SBI is seeking regulatory approval from Japan's Financial Services Agency (FSA) for the ETFs. While it remains unclear whether the products have already been formally proposed to the FSA, the company aims to launch them upon regulatory approval.
The first proposed product is a "Crypto-Assets ETF" that will offer direct exposure to Bitcoin and XRP. The second product, named a “Digital Gold Crypto ETF,” will allocate more than 50% of its holdings to gold ETFs, with the remaining portion invested in crypto assets, particularly Bitcoin. This blended approach aims to attract a wider range of investors by merging the stability of gold with the growth potential of cryptocurrencies.
SBI has consistently positioned XRP at the center of its crypto initiatives and holds a significant stake in Ripple. The inclusion of XRP in an ETF marks a new chapter in its institutional journey, potentially transforming it from a utility token into a regulated investment vehicle. If the FSA approves the ETFs, XRP will gain formal recognition as an asset suitable for investment in Japan.
SBI plans to list the ETFs on the Tokyo Stock Exchange. If approved, the funds would be the first crypto ETFs publicly offered in Japan's tightly regulated financial market. This initiative reflects Japan's maturing crypto ecosystem and the growing legitimacy of digital assets as investable instruments.
The development is particularly significant for Japan, where regulatory standards are among the strictest in the world. SBI's ETF proposal is part of a broader trend in Japan, where financial institutions are beginning to seek official approval for crypto-based investment products.
The launch of these ETFs could be a bullish signal for Bitcoin and Ripple, as it would offer direct exposure to these cryptocurrencies. This could serve as a model for similar offerings in other jurisdictions, reinforcing XRP's credibility on the global stage.
