Gumi and SBI launch $18.3M Bitcoin fund as Japan warms to crypto

Gumi Inc. and SBI Holdings launched a 3 billion yen ($18.3 million) Bitcoin and altcoin fund on Saturday, marking Japan's latest institutional push into digital assets.

"The fund's mission is to bridge Japan's corporate sector and the crypto market while building an operational track record ahead of a possible future lifting of Japan's ban on crypto exchange-traded funds," Gumi said in a Tuesday announcement.

The fund, operated by SBI Crypto Fund LLC, is a joint venture owned 51% by SBI Financial Services and 49% by Gumi subsidiary gC Labs. Daiwa Securities Group and Yamada Securities Group are also listed as investors. The vehicle will deploy capital into Bitcoin and major altcoins through staking, portfolio rebalancing and hedging strategies.

The launch builds on Gumi's expanding crypto business. As of April 30, the company held 14.13 billion yen in crypto assets, nearly doubling from 7.58 billion yen a year earlier, with a stated goal of becoming Japan's largest XRP treasury company. SBI currently holds about 34% of Gumi through a capital and business alliance formed in 2022.

Gumi has created a dedicated "Neo Crypto" division to house its digital asset activities, which include portfolio management services through Hinode Technologies and crypto investment funds. The division is designed to accumulate operational experience and position the company for potential crypto ETF approvals in Japan.

The involvement of Daiwa Securities Group, one of Japan's largest securities firms, signals that the fund passed institutional due diligence. If Japanese regulators eventually greenlight crypto ETFs, firms that have already built fund infrastructure and regulatory relationships will be positioned to move quickly, according to Gumi's announcement.

Japan currently bans crypto ETFs, but the fund's structure is explicitly designed to build a track record that could support future regulatory changes. The country's Financial Services Agency has shown increasing openness to digital assets, with major financial institutions including SBI and Nomura expanding their crypto operations.

This article is for informational purposes only and does not constitute investment advice.