Thailand’s SEC considers Bitcoin ETF approval
Thailand’s Securities and Exchange Commission (SEC), the Southeast Asian nation’s securities regulator, is believed to be considering moving towards approving spot Bitcoin exchange-traded fund (ETF) products.
In an interview with Bloomberg, the Thai SEC’s Secretary-General, Pornanong Budsaratragoon, said that the agency is weighing up whether to allow individual investors and institutions to access spot Bitcoin ETFs. Budsaratragoon stated:
“We have to adapt and ensure that our investors have more options in crypto assets with proper protection.”
Moving along with global crypto adoption
January 10 marked the first anniversary of the approval of spot Bitcoin ETFs in the United States. Given that the U.S. is home to the world’s largest capital markets, that decision has had an impact internationally. That reality is borne out by one of Budsaratragoon’s comments. She stated:
“Like it or not, we have to move along with more adoption of cryptocurrencies worldwide.”
While the SEC Secretary-General’s comment suggests that she feels a compulsion to move forward in line with developments elsewhere, that wasn’t the agency’s position in January 2024 following spot Bitcoin ETF approval in the U.S.
Shortly afterwards, the regulator, alongside its regional counterpart in Singapore, outlined that it had no plans to approve the product in Thailand, stating: "The SEC has been following these developments closely but we do not have a policy to allow spot Bitcoin ETFs to be established in Thailand for the time being.”
Initial access to overseas products
In March of last year, the agency had warmed to the Bitcoin ETF product offering to a greater extent, by approving access to such products listed overseas to high-net-worth individuals and institutions. Off the back of that approval, One Asset Management (ONEAM) launched a fund of funds in June 2024, enabling Thai investors to gain exposure to Bitcoin ETFs which had been publicly listed overseas.
Back in October, Nirun Fuwattananukul, CEO of Binance Thailand, stated in an opinion piece published by the Bangkok Post that he felt that the Thai crypto market was moving from retail towards a focus on the institutions. He stated:
“By allowing more institutional funds to participate, the SEC is enabling a diverse range of investment strategies and helping digital assets gain broader acceptance in the mainstream.”
Fuwattananukul suggested that the local regulator had made some changes on Oct. 9, paving the way for institutional-grade mutual and private funds to invest in crypto products. The approval of locally listed Bitcoin ETF products would broaden investor access to digital assets in Thailand, particularly in relation to institutional investors, which is in line with the thinking of the Binance executive.
Earlier this month, Thailand’s Deputy Prime Minister, Pichai Chunhavajira, announced that a pilot program was being launched to help foreign tourists pay for goods and services using crypto within the Thai resort city of Phuket.
Meanwhile, former Thai Prime Minister Thaksin Shinawatra expressed a bullish view on crypto in a speech he made in Bangkok last week. Shinawatra called on the country’s institutions to be more open to cryptocurrency, while citing regulatory developments in the U.S. relative to the emerging asset class.
