Thailand government approves use of digital assets as underlying instruments in derivatives and capital markets across the country

Thailand has taken a major step in embracing the digital economy.

On Tuesday, the government approved a proposal from the Finance Ministry allowing digital assets, including cryptocurrencies and carbon credits, to serve as underlying assets in the country’s derivatives and capital markets.

The decision signals a push to modernize financial markets while strengthening investor protection and regulatory oversight.

SEC to Amend Laws to Include Crypto

The Securities and Exchange Commission (SEC) of Thailand will update the Derivatives Act to accommodate these new asset classes.

Bitcoin (BTC) and other digital tokens are now officially recognized as assets that can be integrated into financial products such as futures and exchange-traded products.

This legal update is part of Thailand’s broader plan to position itself as a hub for institutional crypto trading in Southeast Asia.

Nirun Fuwattananukul, CEO of Binance Thailand, described the move as a “watershed moment” for the country’s capital markets.

He noted that digital assets are increasingly seen not just as speculative tools but as legitimate asset classes capable of reshaping the structure of capital markets.

Focus on Institutional Investors

Thailand is targeting wealthy and institutional investors as it expands its crypto ambitions.

The Stock Exchange of Thailand plans to introduce Bitcoin futures and related exchange-traded products in 2026, reflecting a clear strategy to attract professional investors seeking portfolio diversification.

Pornanong Budsaratragoon, SEC secretary-general, highlighted that formal recognition of crypto would promote market inclusiveness, strengthen risk management practices, and support broader investor confidence in digital asset investments.

Retail Trading Remains Popular but Payments Restricted

While institutional integration is a priority, retail interest in crypto continues to grow.

Thailand’s largest exchange, Bitkub, records daily trading volumes of around $65 million.

Yet, crypto cannot legally be used for payments, and the use of consumer stablecoins is heavily restricted.

To ease short-term tourist access, the government launched an app in August allowing crypto-to-local currency conversion at government-approved outlets.

However, strict Know Your Customer (KYC) and due diligence checks apply, limiting broader adoption for everyday transactions.

The government has also maintained a crackdown on unregulated crypto activities under a campaign against so-called “gray money,” aimed at curbing money laundering.

These measures show a careful balance between innovation and financial security.

International Implications

By formally recognizing digital assets in derivatives markets, Thailand joins a growing list of countries integrating crypto into mainstream finance.

This aligns with global trends where regulators aim to modernize financial systems while mitigating risks associated with speculative trading, fraud, and money laundering.

What’s Next?

Thailand plans to roll out Bitcoin futures and exchange-traded products in 2026, attracting institutional investors across Southeast Asia.

Observers expect additional regulatory clarity and frameworks to follow, particularly around risk management, custody solutions, and investor protections.

Retail adoption may grow slowly, with the government monitoring compliance and financial stability.

Investors and exchanges alike are watching closely as Thailand seeks to become a regional crypto leader.

Summary

Thailand’s government has approved the use of digital assets as underlying assets in derivatives and capital markets, marking a major step toward modernizing financial markets.

The SEC will amend the Derivatives Act to accommodate Bitcoin, carbon credits, and other digital tokens.

The move targets institutional investors, strengthens investor protection, and signals Thailand’s ambition to become a Southeast Asian hub for crypto trading.

Retail trading remains popular, but crypto payments are still restricted, reflecting the government’s cautious approach.