Thailand Is Planning An ETF Lineup Expansion To Include Ethereum

Thailand’s SEC plans to expand crypto ETFs beyond Bitcoin. Bills are currently being drafted to introduce domestic products for Ethereum and other assets.

Thailand is preparing to widen its crypto ETF market. Particularly, it is moving beyond Bitcoin to include other digital assets. 

The country’s Securities and Exchange Commission (SEC) has confirmed that it is currently drafting new rules to support this expansion.

Ethereum ETF Leads the Way for Thai Investors

The expansion comes right after the approval of Thailand’s first Ethereum ETF in September. This product was launched by MFC Asset Management as the Ethereum ETF Tracker Fund, and gave retail investors regulated access to ETH.

Thailand’s introduction of the Ethereum ETF placed it among the first jurisdictions in Asia outside Hong Kong to offer such a product. 

Officials see this step as evidence of growth, at least where the acceptance of crypto is concerned.

“The first Ethereum ETF is just the beginning. We plan to explore more assets, including basket products that feature multiple cryptocurrencies like Solana,” Pornanong said.

Domestic Crypto ETFs Aim to Reduce Dependence on Overseas Funds

Currently, Thai investors often rely on local fund managers that invest in overseas crypto ETFs. The new framework will allow domestic institutions and mutual funds to launch their own products.

By bringing these funds under local oversight, regulators are hoping to improve transparency and make sure that investors can access more assets without relying on foreign markets.

The SEC is working with other agencies to finalise the rules, with an expected rollout early next year.

Younger Investors And Diversified Portfolios

Thailand’s push to expand crypto ETFs comes at a time when younger investors are turning more and more towards digital assets. A 7.6% drop in the Thai stock market this year was also one of the factors that drove many to look for alternatives.

Officials believe that offering regulated products will channel this demand into safer and more transparent investment structures. They are viewing ETFs as a bridge between traditional finance and the crypto market.

“Younger investors want crypto in their portfolios as a diversification tool,” Pornanong noted.

Altcoin ETFs And The Next Phase of Thailand’s Crypto Policy

Thailand’s journey into regulated crypto investment started last year, with the approval of its first spot Bitcoin ETF (which is managed by One Asset Management). 

That fund used a “fund of funds” structure to give institutional clients access to Bitcoin through international investment vehicles.

The new move to include altcoin ETFs, starting with Ethereum (and soon possibly Solana), shows the next step in policy evolution. It shows that Thailand is actively trying to involve tokenised assets more deeply into its mainstream investment environment.

What Comes Next For Thailand’s Crypto ETF Market

Market watchers believe that the upcoming wave of altcoin ETFs will attract more institutional investors. Not only this, but they also believe that it will improve liquidity in Thailand’s crypto sector. 

Binance and other industry players have already pointed out the country’s rising importance in the region.

As the SEC refines its framework, investors are preparing for stronger access to more crypto products, which could strengthen Thailand’s position in Asia.

Source: https://www.livebitcoinnews.com/thailand-is-planning-an-etf-lineup-expansion-to-include-ethereum/