SBI Holdings has filed an application with Japan's Financial Services Agency for what would be the country's first spot XRP exchange-traded fund — a filing that deliberately leaves out Ethereum and leans on the deep Ripple infrastructure the firm has spent years building. The proposal covers two products: a Crypto-Assets ETF tracking Bitcoin and XRP, and a Digital Gold Crypto ETF that holds more than 50% gold alongside crypto. SBI is targeting $32 billion in institutional assets.
Why XRP and not ETH
The decision to exclude Ethereum isn't accidental. Japan's regulatory path has favored XRP because of local adoption and the infrastructure SBI Ripple Asia — a joint venture between SBI Holdings and Ripple — has operated since 2016. That venture provides XRP liquidity, custody, and compliance frameworks. SBI Holdings CEO Yoshitaka Kitao is a longtime Ripple advocate, and the ETF filing is widely seen as an extension of that relationship.
The U.S. moved from approving Bitcoin ETFs to Ethereum ETFs, but in Japan the regulatory momentum has swung toward XRP. The FSA is advancing a framework to reclassify crypto as financial products, which would open the door for pension funds and insurers to invest.
What the two ETFs look like
The first product, a Crypto-Assets ETF, bundles Bitcoin and XRP into a single regulated vehicle. The second, the Digital Gold Crypto ETF, mixes more than half its holdings in gold with crypto exposure — a structure designed to appeal to conservative institutions. SBI's existing custody and compliance setup through SBI Ripple Asia gives the filing a logistical head start. If approved, this would be Japan's first XRP-linked ETF offering spot-style exposure.
Altcoin ETF momentum beyond Japan
SBI's filing comes as altcoin ETF activity picks up elsewhere. In the U.S., Grayscale and VanEck are advancing BNB ETF filings, signaling that issuers see demand beyond Bitcoin and Ethereum. Ripple APAC VP Fiona Murray pointed to low interest rate economies like Japan and Korea as a driver pushing retail investors toward alternative assets.
ETF approval timelines in Japan are measured in months, and the FSA's reclassification of crypto as financial products is still in progress. SBI now waits for a regulatory green light while the broader industry watches to see whether Japan will become the first major market to offer a spot XRP ETF.
