Thailand’s SEC has opened a public consultation on rules that would allow crypto exchange-traded funds (ETFs) in the country.

The proposal covers crypto ETFs, the outsourcing of digital asset investment management for mutual funds, and the role of fund supervisors. Public comments are open until 11 May 2026.

The SEC is proposing to allow spot crypto ETFs in the form of mutual funds that invest directly in crypto assets.

These funds would follow a passive strategy and maintain average net exposure of at least 80 percent of NAV to a single crypto asset over the accounting year.

Bitcoin and Ethereum would be the first eligible assets, while other qualifying crypto assets would need to be highly liquid and widely accepted.

Asset management companies seeking to launch crypto ETFs would need to show they have the staff, systems and service providers needed to run them.

Fund holdings would mainly have to be kept with SEC-regulated digital asset custodians, and the products would be listed and traded only on the stock exchange.

Investor safeguards and market limits

The SEC is also proposing added investor safeguards, including clearer disclosure, investor education, and checks to confirm investors understand the risks before trading.

The framework also says crypto ETF investments should match an investor’s risk tolerance and avoid excessive concentration in crypto assets.

The regulator also plans to amend existing rules to let Thai mutual funds and private funds invest in local crypto ETFs.

Previously, they could only invest in foreign crypto ETFs within existing limits.

At the same time, the SEC said it would not allow alternative products linked to foreign crypto ETFs in the initial stage, including depositary receipts tied to overseas crypto ETFs.

The consultation also covers related rule changes for mutual funds investing in digital assets.

Any outsourced digital asset investment management would have to be handled by a licensed digital asset fund manager.

The SEC is also proposing to allow qualified digital asset custodians and other digital asset business operators to act as fund supervisors for crypto ETFs, subject to requirements on financial strength, personnel and operational systems.

The proposal follows resolutions by the SEC Board in December 2025 and the Capital Market Supervisory Board in February 2026 to move ahead with rules supporting crypto ETFs in Thailand.

Featured image: Edited by Fintech News Singapore, based on images by madushankalm and bloodua via Freepik