Franklin Templeton joins forces with SBI to debut Bitcoin ETFs in Japan: report

Japanese financial giant SBI Group is collaborating with Franklin Templeton to prepare for the possible approval of crypto funds in Japan.

Japanese financial giant SBI Group aims to offer spot Bitcoin exchange-traded funds to the Japanese market by partnering with US asset manager Franklin Templeton in anticipation of possible approval for crypto funds in Japan, Nikkei Asia reported, citing sources familiar with the matter.

The joint venture will have a 51% stake in SBI Group, with the remaining holdings held by Franklin Templeton. While spot Bitcoin ETFs have been approved in the US, Hong Kong, and a few other countries, Japan has yet to make a decision on the financial product.

The collaboration between SBI Group and Franklin Templeton suggests that the Japan Financial Services Agency could eventually approve the ETF, although no timeframe has been disclosed so far. The joint venture is expected to offer crypto securities, but specific details have not been disclosed.

The development comes after recent reports that Japan’s largest pension fund, the Japan Government Pension Investment Fund, may explore investing in alternative assets such as Bitcoin (BTC) and gold. The fund reportedly plans to examine the possibility of investing in Bitcoin and other commodities, including farmland, forests and precious metals.

In mid-February, the Japanese cabinet approved including crypto among the assets that local investment limited partnerships can acquire or hold. The move was part of Prime Minister Fumio Kishida’s “new capitalism” policy, which has seen him actively work to develop Japan’s web3 industry.