Thailand’s Cabinet on Tuesday approved a Finance Ministry proposal to allow digital assets to serve as underlying assets in the country’s derivatives and capital markets.
The reform is intended to modernize Thailand’s derivatives framework in line with international standards, enhance regulatory oversight and investor protections, and position the country as a regional hub for institutional crypto trading, according to a report by the Bangkok Post.
Thailand’s Securities and Exchange Commission (SEC) will amend the Derivatives Act to accommodate the new asset classes, which include Bitcoin (BTC) and carbon credits.
“The decision to formally recognize digital assets, including cryptocurrencies and digital tokens, reflects a growing understanding that digital assets are no longer merely speculative instruments but an emerging asset class with the potential to reshape the foundations of capital markets,” said Nirun Fuwattananukul, CEO of Binance Thailand.
He described the approval as a “watershed moment” for Thailand’s capital markets and a strong signal that the country aims to position itself as a forward-looking leader in Southeast Asia’s digital economy.
Boosting Crypto Recognition Among Institutional Investors
Thailand is increasingly targeting affluent and institutional investors as it expands its digital asset strategy. The latest move aligns with the Stock Exchange of Thailand’s plans to introduce Bitcoin futures and crypto exchange-traded products by 2026.
SEC Secretary-General Pornanong Budsaratragoon said the reform will “strengthen the recognition of crypto as an asset class, promote market inclusiveness, enhance portfolio diversification, and improve risk management for investors.”
Crypto Payments Still Restricted
Despite regulatory progress in capital markets, crypto payments remain prohibited. Thailand’s central bank continues to ban the use of cryptocurrencies for payments, and consumer stablecoin usage is tightly restricted.
Retail trading, however, remains active. Bitkub, the country’s largest exchange, records roughly $65 million in daily trading volume, according to CoinMarketCap.
In August, the government launched an app allowing short-term tourists to convert crypto into local currency. However, users must undergo strict Know Your Customer (KYC) and due diligence procedures, and transactions are limited to government-approved merchants.
Separately, Thailand initiated a campaign in January targeting so-called “gray money,” including crypto-related activities, as part of broader efforts to combat money laundering.
