Thailand's new rules for Bitcoin and Ether ETFs take effect Friday, but CoinShares expects modest initial inflows. Digital asset investment firm CoinShares anticipates tens of millions of US dollars in initial demand, citing competition from existing investment options and Hong Kong's limited success with crypto ETPs.
The launch of crypto ETFs in Thailand could signal increased institutional and retail adoption of digital assets in the region, but initial demand may be tempered by existing investment avenues and the performance of similar products in other major financial hubs.
Thailand's new regulations for Bitcoin and Ether exchange-traded funds (ETFs) are set to take effect on Friday, aiming to broaden access to regulated digital asset investments. However, CoinShares, a digital asset investment firm, anticipates a slow start with modest initial inflows, estimating tens of millions of US dollars rather than billions. James Butterfill, head of research at CoinShares, cited existing investment options and direct crypto trading as factors that may limit demand for the new products. He also pointed to Hong Kong's limited success in attracting substantial crypto ETF assets as a cautionary comparison. Global crypto investment products held $172.9 billion in assets under management as of late September, with Hong Kong accounting for just 0.42% of that total. MFC Asset Management and ONE Asset Management are identified as potential issuers of the new Thai ETFs.
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