Thailand is increasing its involvement in the cryptocurrency space with two contrasting regulatory moves.
Media reports in Asian countries have revealed that the country is considering banning polymarkets while also approving Bitcoin exchange-traded funds (ETFs).
Bitcoin ETF
The Securities and Exchange Commission of Thailand (SEC) is reportedly considering introducing a spot Bitcoin ETF on local exchanges.
According to SEC Secretary General Polnanon Budsaratragon, there is little room for hesitation as the adoption of cryptocurrencies increases globally. She emphasized the need to adapt by offering safe and diverse crypto investment options.
She is reported to have said:
“Whether we like it or not, we have to further drive the adoption of cryptocurrencies around the world. We must adapt and give investors more choice in crypto assets with adequate protection. We need to be able to secure it.”
The move is not surprising given the huge success of Bitcoin ETF products since their launch in the US last year. According to data from SoSoValue, these funds collectively managed more than $100 billion in assets within a year of their inception.
Meanwhile, the development will build on One Asset Management’s previous efforts, including the launch of a “fund of funds” offering exposure to international Bitcoin ETFs.
Polymarket prohibited?
While Thai authorities support the advancement of regulated cryptocurrencies, they have taken a firm stance against platforms deemed harmful.
Thailand’s Cyber Crime Investigation Department has reportedly recommended the banning of Polymarket, stating that it operates as an illegal gambling site.
Authorities argue that restricting access to polymarkets can reduce the misuse of cryptocurrencies for illegal activities and protect the economy from potential risks.
Founded in 2020, Polymarket is known for its decentralized prediction markets where users bet on the outcome of various events.
The platform gained attention for its role in aggregating public opinion during the November 2024 US election, but recent controversies involving bets on sensitive topics like wildfires have drawn sharp criticism.
In particular, the platform has received increased regulatory attention in Singapore, where it is officially considered a gambling site.
