Japan Financial Services Agency consults on expanding foreign trust beneficiary rights covered by the electronic payment instruments regime

Japan Financial Services Agency opened a public consultation on draft amendments to the Cabinet Office Ordinance on Electronic Payment Instruments, etc. Business Operators and related implementing rules to broaden the scope of foreign trust beneficiary rights that can be treated as electronic payment instruments and to clarify the basis on which operators assess the appropriateness of handling foreign electronic payment instruments. The amendments would recognise as electronic payment instruments certain trust beneficiary rights established under foreign laws and regulations that are equivalent to Japan’s legal framework for electronic payment instruments, and would anchor operators’ handling decisions to that equivalence standard. A related change would ensure that beneficiary rights in such foreign trusts are not regarded as securities under the Financial Instruments and Exchange Act, alongside updates to relevant trust-related enforcement regulations and supervisory administrative guidelines for electronic payment instruments transaction operators. Comments are due by 17:00 on 5 March 2026, after which promulgation and entry into force are planned following the necessary procedures.