Thailand’s securities regulator is moving quickly to fold crypto investment products into the mainstream financial system, unveiling a package of rules that could make the country more attractive to institutional investors.
What’s coming
– Crypto ETFs: The Securities and Exchange Commission (SEC) has approved crypto exchange-traded funds in principle and is finalising detailed investment and operational rules, SEC deputy secretary-general Jomkwan Kongsakul told the Bangkok Post. Formal guidelines are expected “early this year.” The SEC plans to treat crypto as “another asset class” and would allow investors to allocate up to 5% of a diversified portfolio to digital assets. Kongsakul highlighted a key selling point of ETFs: they reduce barriers for investors who worry about wallet security and hacking.
– Crypto futures on TFEX: The SEC is also preparing to enable regulated crypto futures trading on the Thailand Futures Exchange (TFEX), giving investors a derivatives route to gain exposure to crypto price moves. The regulator is considering measures such as appointing market makers to support liquidity and recognising digital assets under the Derivatives Act.
– Tokenisation and a sandbox with the central bank: Beyond ETFs and futures, the SEC is pursuing tokenisation pilots. It is working with the Bank of Thailand to establish a tokenisation sandbox and is encouraging issuers of bond tokens to participate. The sandbox would allow testing of blockchain-based issuance under supervision, creating regulated pathways for tokenised products without broad retail rollouts.
Tighter marketing rules
The SEC is also clamping down on promotional activity around investments. Kongsakul said the agency will increase oversight of “financial influencers,” and that any recommendation related to securities or investment returns will require proper authorisation as an investment advisor or introducing broker. The move aims to curb unregulated promotion during a period of active online discussion about digital assets.
Regulatory enforcement: KuCoin Thailand suspended
Regulatory tightening comes alongside active enforcement. In January, the SEC suspended KuCoin Thailand after the exchange’s capital fell below minimum requirements for five consecutive days, local outlet The Nation reported. KuCoin said the shortfall stemmed from a shareholder dispute between Singapore’s CI Group and KuCoin Global that delayed approval of a planned capital increase; the company denied it was a liquidity issue. KuCoin entered Thailand in June 2025 and plans for its local entity to apply for a digital-asset broker licence to offer a broader product range.
Market context
Thailand continues to see robust crypto trading despite a ban on crypto payments. Bitkub, the country’s largest exchange, still posts daily volumes of around $60 million. The SEC’s strategy—focusing on regulated ETFs, futures, and tokenised instruments—appears aimed at opening controlled investment channels for institutions while keeping retail exposure under tighter supervision.
Bottom line
Thailand’s SEC is shifting from restriction toward structured integration: by formalising ETFs, opening regulated derivatives, piloting tokenised securities with the central bank, and tightening marketing rules, the regulator is positioning the country as a more credible regional hub for institutional crypto investment—while maintaining guardrails to limit retail risk.
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