Japan's National Business Corporate Pension Fund Plans 1% Crypto Bet to Hedge Dollar Decline
Japan’s National Business Corporate Pension Fund plans to put roughly 1% of its assets into cryptocurrency starting in fiscal year 2026, according to Nikkei reporting. The Okayama City-based fund manages about ¥21.3 billion ($136 million) and serves around 1,200 small and medium-sized enterprises and more than 20,000 members. A 1% allocation is worth roughly ¥213 million ($1.36 million). The fund will not buy crypto directly; exposure will come through passive multi-asset funds run by major hedge funds that hold various cryptocurrencies. Fund officials say the move is about protecting against a weaker yen and a potentially less dominant dollar, not chasing short-term gains. The fund is cutting its yen exposure from 80% to 70% in FY2026, while adding 10% to developed market currencies and putting roughly 5% toward emerging market currencies, gold, and crypto combined. Aiyu Kiguchi, the fund’s executive director of operations, said the dollar’s nature as a base currency may be weakening. Crypto entered the mix because of its low correlation to the dollar index, framing it as a currency depreciation hedge. The fund spent six years researching alternative assets before reaching this point. Its financial position supports the move, with a funded ratio above 140% and an effective equity ratio above 30%. The allocation lands alongside regulatory changes in Japan: the House of Representatives passed a bill on June 11 that would move crypto oversight to the Financial Instruments and Exchange Act, potentially enabling crypto ETFs. The Osaka Exchange targets a 2028 launch for bitcoin futures, and major brokerages are preparing crypto-inclusive investment trusts.