Thailand has taken a major step toward bringing cryptocurrencies into the center of its financial system, approving changes that will allow digital assets to be used as underlying products in the country’s derivatives market, according to the Bangkok Post.
The move follows a cabinet decision to endorse the Finance Ministry’s proposal to treat assets, such as Bitcoin and digital tokens, as reference assets under the Derivatives Trading Act.
SEC tasked with rewriting derivatives rules
Following the cabinet approval, the Securities and Exchange Commission (SEC) has been instructed to amend the Derivatives Act so that new asset types, including cryptocurrencies and digital tokens, can be used as reference assets for futures and other derivative contracts.
SEC secretary-general Pornanong Budsaratragoon said the expansion of what counts as permissible “goods and variables” in the law is intended to accommodate new products linked to digital assets. She said the change is meant to strengthen recognition of crypto as an asset class, make markets more inclusive, widen options for portfolio diversification, and improve risk management tools available to investors.
The revised framework will allow licensed digital asset businesses to offer derivatives contracts that reference cryptocurrencies, subject to new licensing and supervisory conditions.
Furthermore, the SEC is reviewing rules for brokers, exchanges, and clearinghouses to ensure they are suitable for products tied to digital assets, while regulators work with the Thailand Futures Exchange to craft contract terms for digital asset-linked derivatives so that product structures reflect the risk profile and real-world use of cryptocurrencies in the market.
Carbon credits and longer-term objectives
The amendments will also reclassify carbon credits as “goods,” enabling the launch of both cash-settled and physically delivered carbon credit futures. Pornanong said this is consistent with the draft Climate Change Act and supports Thailand’s long-term carbon neutrality objectives.
Market participants view the initiative as a significant step toward integrating digital assets into Thailand’s mainstream financial system, moving cryptocurrencies from standalone investment products into a regulated asset class within the country’s capital and derivatives markets.
