Thailand is preparing to launch its first crypto exchange-traded funds (ETFs) as new regulations allowing local listings for Bitcoin and Ether ETFs take effect. The move signals an effort by Thai authorities to broaden access to regulated digital asset investments through the Stock Exchange of Thailand.
New framework for retail investors
Under the new rules, retail investors in Thailand will soon be able to access crypto ETFs directly listed on the local exchange. However, regulatory provisions restrict investments in overseas crypto ETFs through domestic brokers to only institutional and ultra-high-net-worth individuals.
Before trading can commence, Thailand’s first crypto funds must secure necessary regulatory approvals and establish appropriate custody and distribution arrangements.
The Stock Exchange of Thailand, recognized as the country’s primary securities trading venue, will serve as the platform for these newly approved crypto ETFs.
Market expectations and comparison with Hong Kong
James Butterfill, head of research at digital asset investment firm CoinShares, stated that the initial inflows into these Thai crypto ETFs are likely to be modest. He anticipates that investments will total in the tens of millions of dollars, rather than billions, during the first wave of products.
Butterfill pointed to Hong Kong as an example, where the launch of crypto ETFs saw relatively low participation despite its reputation as an international finance center.
As of late September, CoinShares reported that global crypto investment products held $172.9 billion in assets under management. Of this, Hong Kong accounted for just $733 million, representing 0.42% of the worldwide total.
| Market | Crypto ETF AUM ($ million) | Global Share (%) |
|---|---|---|
| Global | 172,900 | 100 |
| Hong Kong | 733 | 0.42 |
Butterfill suggested that existing avenues for crypto exposure, such as foreign funds or direct trading, may dampen demand for new locally listed ETFs. Many Thai investors already access cryptocurrencies via established products or direct market participation.
Potential issuers and product launches
Thailand’s MFC Asset Management, a prominent fund manager, introduced the MBTCETF-UI Bitcoin ETF Tracker Fund in 2024. This fund invests directly in BlackRock’s iShares Bitcoin Trust (IBIT), the world’s largest spot Bitcoin ETF by assets.
Butterfill considers both MFC Asset Management and ONE Asset Management—another major Thai asset manager—worth watching regarding future ETF offerings. In 2024, ONE Asset Management became the first Thai firm to receive approval for a fund linked to a Bitcoin ETF.
Despite these developments, Butterfill stated he has not yet confirmed whether either company plans to launch a crypto ETF listed directly on the Stock Exchange of Thailand, nor the expected timeline for such launches.
Cointelegraph contacted Thailand’s Securities and Exchange Commission (SEC), MFC Asset Management, and ONE Asset Management for updates on local ETF launches but did not receive responses prior to publication.
Mini dictionary: MFC Asset Management and ONE Asset Management are leading Thai investment management companies, both active in the mutual fund and asset management sectors. Their involvement signals increased institutional participation in Thailand’s crypto ETF space.
The entry of these asset managers into crypto ETFs reflects Thailand’s cautious approach toward expanding digital asset exposure, balancing retail access with regulatory oversight.
