Thailand is stepping up its crypto game, with the Securities and Exchange Commission (SEC) considering approving spot Bitcoin exchange-traded funds (ETFs) for the first time. SEC Secretary-General Pornanong Budsaratragoon announced on January 14 that the regulator is evaluating whether both retail and institutional investors can trade these ETFs locally. This move signals Thailand’s intent to adapt to global crypto adoption while ensuring investor protection.

Currently, Thai investors can only access spot Bitcoin ETFs indirectly through funds like One Asset Management’s fund-of-funds, introduced in June 2024. However, direct Bitcoin ETF listings remain restricted.

In addition, Thailand's SEC is exploring innovative financial tools, including stablecoins backed by corporate bonds, to enhance access to debt markets. Thaksin Shinawatra, the de facto leader of the Pheu Thai Party, proposed launching government bond-backed stablecoins and a Bitcoin sandbox in Phuket to integrate cryptocurrency into the tourism sector.

Thailand ranks 16th globally in crypto adoption, according to the 2024 Crypto Adoption Index by Chainalysis. The country also ranks 15th in retail centralized service value and 19th in decentralized finance transaction volume.

While fostering crypto innovation, Thailand is also cracking down on illegal activities. On January 14, the Technology Crime Suppression Division (TCSD) proposed shutting down Polymarket, a cryptocurrency-based prediction market, citing its classification as illegal online gambling under Thai law. Polymarket has faced similar actions worldwide, with Singapore and France also targeting the platform.

Despite regulatory hurdles, Polymarket recorded significant activity, with $515 million in trading volume in just 15 days of 2025, highlighting the persistent demand for crypto prediction markets. Thailand’s dual approach reflects its efforts to balance innovation and regulation in the evolving crypto landscape.