Thailand Approves Crypto as Underlying Assets in Derivatives Markets
Thailand’s government has approved a proposal from the Finance Ministry allowing digital assets to be used as underlying assets in the country’s derivatives and capital markets. The decision is part of a broader effort to modernize financial markets, improve investor protection, and position Thailand as a regional hub for institutional crypto trading.
According to local reports, the country’s Securities and Exchange Commission will update the Derivatives Act to include new asset classes such as Bitcoin and carbon credits. Regulators say the changes aim to align Thailand’s markets with international standards while strengthening oversight.
Nirun Fuwattananukul, chief executive of Binance Thailand, described the move as a “watershed moment” for the country’s digital asset industry. He said the decision shows that cryptocurrencies and digital tokens are no longer seen only as speculative investments but as a growing asset class with the potential to reshape capital markets.
Focus on Institutional Investors
Thailand is increasingly targeting institutional investors as it expands its crypto strategy. The approval also supports plans by the Stock Exchange of Thailand to introduce Bitcoin futures and exchange-traded products in 2026.
SEC secretary-general Pornanong Budsaratragoon said recognizing crypto as an asset class could encourage broader market participation, improve diversification, and strengthen risk management for investors.
Retail Trading Still Restricted
Retail crypto trading remains popular in Thailand, with the country’s largest exchange, Bitkub, recording significant daily trading volumes. However, the central bank continues to ban crypto payments, and stablecoin use for consumers remains limited.
Last year, the government launched a mobile app allowing short-term tourists to convert crypto into local currency, but strict identity checks and usage rules apply. Authorities also began a campaign in January targeting “gray money” and potential money-laundering risks linked to digital assets.
Featured image from: Cointelegraph.com