Nomura : BOOSTRY Publishes Japan Security Token Market Report (FY2025)

(Amounts stated below are rounded to the nearest 100 million yen.)

In FY2025, issuance in the domestic security token market reached JPY165 billion, bringing the cumulative total to JPY333.3 billion. This represents a roughly twofold increase compared to the cumulative issuance amount at the end of the previous fiscal year.

The number of tokens issued for the fiscal year was 24, bringing the cumulative total to 82.

By asset type, security tokens structured as trust beneficiary securities backed by real estate amounted to JPY140.8 billion, accounting for approximately 85% of total issuance. This was followed by JPY20.4 billion in corporate bond security tokens, JPY2.4 billion in trust beneficiary securities backed by private equity, and JPY1.4 billion in rights based on silent partnership agreements (silent partnership equity interests) backed by real estate.

Based on its analysis of market trends, BOOSTRY has seen progress in the following three key areas:

Larger deal sizes: A total of seven security token deals exceeded JPY10 billion in issuance amount.
Broader participation by new entrants: Particularly in real estate security tokens, a diverse mix of new participants entered the market, including asset managers, distributors, and trustees. Notably, regional financial institutions also entered the market as distributors, highlighting the growing involvement of local players.
Asset diversification: New products and initiatives emerged, including security tokens targeting private equity and venture capital. Osaka Digital Exchange (ODX) also began trading the first security token corporate bond on its START Market.

While the market continues to expand, asset redemption and the development of secondary markets have also become important issues. In the real estate security token sector, several cases have been reported in which early redemption was achieved faster than initially expected. In addition, as of the end of March 2026, START, ODX's secondary market for security tokens, had 8 tokens trading, with a total market capitalization of JPY33.6 billion.