Thai SEC readies rules for crypto ETFs, futures and tokenised products

Thailand’s Securities and Exchange Commission is preparing new regulations to support crypto exchange-traded funds (ETFs), crypto futures trading and tokenized investment products, the SEC’s deputy secretary-general Jomkwan Kongsakul said, adding the regulator plans to issue formal guidelines supporting the establishment of crypto ETFs “early this year,” the Bangkok Post reported.

Kongsakul said a key advantage of crypto ETFs is “ease of access,” noting they eliminate concerns over hacking and wallet security. The SEC will also regulate and enable crypto futures trading on the Thailand Futures Exchange (TFEX), seek market makers to improve liquidity and recognise digital assets as an official asset class under the Derivatives Act.

The SEC said crypto would be treated as “another asset class” and that investors could allocate up to 5% of a diversified portfolio to digital assets. Regulators are positioning Thailand as a regional crypto hub for institutional investors even as retail trading remains popular and crypto payments are banned; the country’s largest exchange, Bitkub, sees daily volumes of around $60 million.

The SEC’s board has approved crypto ETFs in principle and is finalising investment and operational rules, Kongsakul said.

Key Topics

Crypto, Thai Sec, Thailand, Jomkwan Kongsakul, Tfex, Crypto Etfs