Summary
- Thailand’s SEC has approved Bitcoin and Ethereum ETFs under new regulations covering fund management, investment eligibility, and nationwide operational requirements.
- Crypto ETFs must follow strict custody rules, trade exclusively on Thailand’s stock exchange, and prohibit margin lending to protect investors.
- Mutual funds and private funds can invest in domestic crypto ETFs, while regulators restrict certain foreign cryptocurrency investment products.
Thailand’s Securities and Exchange Commission has authorized domestic Bitcoin and Ethereum exchange-traded funds, introducing new requirements for investment management and investor protection. According to the SEC’s announcement, 11 regulatory notifications will take effect on October 16, establishing rules for cryptocurrency investment products.
The framework covers fund management, digital asset custody, trading restrictions, and supervision of cryptocurrency ETFs listed on Thailand’s stock exchange. Regulators conducted public consultations between April and September 2026, with most respondents supporting the proposed measures.
Bitcoin and Ethereum will initially qualify as eligible assets, while other cryptocurrencies must meet regulatory standards covering liquidity and security. Asset management companies must demonstrate adequate staffing, operational systems, and arrangements with qualified service providers before establishing these funds.
Additionally, crypto ETFs must follow passive investment strategies and maintain average annual exposure of at least 80% to one cryptocurrency.
Also Read: Binance to Delist 22 Cryptocurrencies in Brazil as New Trading Restrictions Loom
Thailand Introduces Strict Custody and Investor Protection Requirements for Crypto ETFs
We're back on X.
— 36Crypto (@36Crypto1) August 21, 2026
Our previous account (36crypto2) is currently unavailable while we continue working through the appeal process. In the meantime, this is our new official account. While you are on this page, please support us by sharing and following.
Thailand’s new framework requires cryptocurrency ETFs to trade exclusively on the Stock Exchange of Thailand under established securities regulations. Investors must acknowledge the associated risks before trading, while securities firms must provide clear information about cryptocurrency investment products.
Brokers must also encourage suitable asset allocation and discourage excessive cryptocurrency exposure based on investors’ individual risk tolerance. Significantly, the SEC has prohibited margin lending for crypto ETF purchases, aligning these restrictions with existing digital asset trading regulations.
Licensed digital asset custodians must safeguard cryptocurrency holdings, while asset managers may outsource investment management only to licensed operators. Qualified digital asset businesses can register as mutual fund supervisors, provided they meet financial, staffing, and operational requirements.
These supervisors may oversee only cryptocurrency ETFs and must maintain regulatory compliance throughout their operations.
Thailand Expands Domestic Fund Access While Restricting Foreign Crypto ETF Products
Meanwhile, the SEC has expanded investment eligibility for mutual funds and private funds, allowing them to invest in domestic cryptocurrency ETFs. Previously, these investment vehicles could invest in foreign crypto ETFs but lacked equivalent authorization for locally established products.
The regulator will restrict certain foreign crypto ETF alternatives, including depositary receipts linked to overseas cryptocurrency investment funds. Securities firms also face restrictions when facilitating foreign crypto ETF investments for clients outside designated wealthy and institutional investor categories.
Thailand’s regulations establish a domestic cryptocurrency ETF framework while strengthening custody oversight, investment management standards, and investor safeguards.
Also Read: Crypto Bloodbath: Bitcoin Dips Below $83,000 as Ethereum, XRP, and Solana Extend Losses
