Thailand Approves Bitcoin and Ether ETFs Amid Declining Crypto Market
- Thailand’s SEC finalized regulations for Bitcoin and Ether ETFs on October 8, with trading allowed from October 16.
- Active crypto exchange accounts in Thailand fell to 121,000 by July, down from approximately 265,000 in previous years.
- Funds must maintain at least an average of 80% net exposure to a single crypto asset annually and can only trade on the Stock Exchange of Thailand.
- Thai brokers are prohibited from offering margin for crypto ETF purchases, ensuring strict investor protections.
- The local market saw a significant decline in trading volume, with stablecoins accounting for the majority of trades.
The Thai SEC’s approval of Bitcoin and Ether ETFs aims to provide a regulated investment avenue amid a shrinking local market. Despite these new offerings, active exchange accounts have decreased significantly, indicating potential challenges in boosting investor engagement.
