Thailand navigates crypto with Bitcoin ETF ambitions and Polymarket scrutiny

Thailand is ramping up its involvement in the crypto space with two contrasting regulatory moves.

Media reports in the Asian nation have revealed that it is weighing the approval of Bitcoin exchange-traded funds (ETFs) while considering a ban on Polymarket.

Bitcoin ETF

The Thai Securities and Exchange Commission (SEC) is reportedly considering introducing spot Bitcoin ETFs on local exchanges.

According to SEC Secretary-General Pornanong Budsaratragoon, the global rise in crypto adoption leaves little room for hesitation. She emphasized the need to adapt by providing secure and diverse crypto investment options.

She reportedly said:

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

This move is unsurprising, considering the blistering success Bitcoin ETF products have enjoyed since their launch in the US last year. Within a year of their launch, the funds collectively manage over $100 billion in assets, according to SoSoValue data.

Meanwhile, the development would build on earlier initiatives, such as One Asset Management’s launch of a ‘fund of funds’ offering exposure to international Bitcoin ETFs.

Polymarket ban?

While Thai authorities support regulated crypto advancements, they are also taking a firm stance against platforms deemed harmful.

Thailand’s Cybercrime Investigation Bureau has reportedly recommended banning Polymarket, accusing it of operating as an illegal gambling site.

The authorities argue restricting access to Polymarket would reduce crypto misuse in unlawful activities and safeguard the economy from potential risks.

Polymarket, established in 2020, is known for its decentralized prediction markets, where users bet on the outcomes of various events.

While the platform gained attention for its role in aggregating public opinion during the November 2024 US elections, recent controversies, including bets on sensitive topics like wildfires, have drawn sharp criticism.

Notably, the platform has come under increased regulatory attention in Singapore, where it has been officially deemed a gambling site.