New regulations for Bitcoin and Ether ETFs in Thailand come into effect this Friday. These rules allow retail investors to access locally listed crypto funds, while limiting overseas ETF investments to institutional and ultra-high-net-worth individuals.
James Butterfill, head of research at CoinShares, anticipates modest initial inflows for the new products. He suggests that expectations should be in the range of tens of millions of USD rather than billions, citing competition from existing investment options.
Investors in Thailand already have access to crypto exposure through foreign funds or direct trading. For instance, MFC Asset Management launched its Bitcoin ETF Tracker Fund in 2024, which invests in the BlackRock iShares Bitcoin Trust.
ONE Asset Management also received approval for a Bitcoin ETF-linked fund in 2024. However, there is no confirmation on when these firms might launch locally listed ETFs or when trading will commence.
Butterfill noted that even major financial hubs can face challenges with crypto ETF adoption. As of late September, global crypto investment products held $172.9 billion in assets, with Hong Kong accounting for only $733 million.
