Thailand Considers Bitcoin ETFs as Crypto Adoption Grows in Asia

Thailand's securities regulator is exploring allowing Bitcoin exchange-traded funds (ETFs) to be listed on local exchanges, potentially giving the country a competitive edge in Asia’s growing crypto market.

The initiative was revealed by Secretary-General Pornanong Budsaratragoon in a Jan.14 interview. Budsaratragoon emphasized that Bitcoin ETFs could offer Thai investors broader access to digital assets. As of Nov. 30, 2024, there were about 270,000 active crypto trading accounts in Thailand, according to Bloomberg.

As nations like China maintain strict bans on cryptocurrencies, Thailand's potential embrace of Bitcoin ETFs could position it as a key hub for crypto activity in Asia. This initiative reflects the growing competition among countries in the region to lead the evolving digital-assets market.

“Like it or not, we have to move along with more adoption of cryptocurrencies worldwide,” Pornanong said on Tuesday. “We have to adapt and ensure that our investors have more options in crypto assets with proper protection.”

Asia’s Crypto Race

The race to establish dominance in the Asian cryptocurrency sector is heating up, with countries across the region adopting diverse strategies to attract investment and promote innovation.

Bhutan’s Gelephu Mindfulness City (GMC) revealed on Jan. 8 plans to incorporate cryptocurrency into its financial strategy via a strategic crypto reserve. The move aims to attract blockchain talent and establish Bhutan as a hub for sustainable digital asset practices.

South Korea also on Jan. 8 announced it would ease restrictions on financial holding companies to acquire digital assets. This regulatory shift is a significant step for one of the region’s most crypto-friendly countries. The initiative will start with non-profit organizations in the year's first half, eventually expanding to corporate entities.

Singapore is also emerging as a key destination for Web3 companies, issuing twice as many crypto licenses in 2024 as the previous year, according to local media reports. Meanwhile, Taiwan has taken significant steps to integrate cryptocurrency into its financial landscape by allowing institutional investors to access foreign crypto ETFs.

At the same time, Hong Kong has launched its own suite of crypto ETF products, showcasing the region’s commitment to diversifying its financial offerings and catering to the growing demand for digital asset investment.

News of Thailand’s potential initiatives comes shortly after the government announced it’s piloting cryptocurrency payment systems in Phuket, targeting the region’s tourism and expatriate markets.