The Thai Securities and Exchange Commission has finalized regulations allowing Bitcoin and Ethereum ETFs to trade on the local stock exchange. These rules, which follow two rounds of public hearings and the issuance of 11 notifications on October 8, will officially take effect on October 16.
The new framework restricts access to foreign crypto ETFs for retail investors. Brokers are prohibited from facilitating the purchase of overseas crypto products for ordinary clients, though institutional and ultra-high-net-worth investors remain exempt from this restriction.
Local mutual and private funds are now permitted to invest in domestic crypto ETFs within established limits. The regulator has explicitly banned depositary receipts and other financial instruments that track foreign crypto assets to ensure capital remains within the local market.
The SEC mandates that these funds must be passive, maintaining at least 80% net exposure to a single crypto asset. Assets must be held by SEC-regulated custodians, and brokers are strictly forbidden from offering margin loans for ETF purchases.
Investors are required to complete a mandatory risk assessment and education process before they can begin trading. While only Bitcoin and Ethereum are currently eligible, the regulator may approve additional assets in the future based on liquidity and security standards.
