Thailand's SEC Moves to Bridge Traditional Finance and Cryptocurrency

crypto

 Thailand's Securities and Exchange Commission (SEC) is moving to allow mutual and private funds to invest in cryptocurrency products, reflecting rising interest from institutional investors.

A proposal, dated Oct. 9, suggests that funds could invest more in crypto exchange-traded funds (ETFs) listed on U.S. stock exchanges. Securities firms and asset management companies would be able to offer crypto-related products to large investors.

"Investment tokens," treated similarly to stocks and bonds, would also be included under this framework, according to SEC deputy secretary-general Anek Yooyuen. The SEC is working on revising rules to accommodate funds investing in digital assets.

While high-risk digital assets like Bitcoin would be treated differently from stablecoins, retail mutual funds would face a 15% cap on crypto investments. Institutional investors would have no such limits.

The SEC will also update fund management rules, covering areas like asset custody, information disclosure, and advertising. Additionally, ICO portals could use third-party services for fundraising and project design.

New penalties for market manipulation and "naked short-selling" are also on the table.