Regulation

Thailand opens doors to first Bitcoin ETF

Published

6 months ago

on

In a major move that reflects the growing mainstream acceptance of cryptocurrencies, Thailand’s Securities and Exchange Commission [SEC] launched the country’s first Bitcoin exchange-traded fund [ETF]. This development marks a pivotal moment for both the cryptocurrency sector and the broader investment landscape in Thailand.

According to reports, One Asset Management [ONEAM] has emerged as a pioneer in this field. This with the approval to offer the first Bitcoin ETF to wealthy and institutional investors. The fund, called ONE-BTCETFOF-UI, will be operational from May 31st to June 6th, opening the doors for investors to diversify their portfolios in the world of digital assets.

Read also: Cryptocurrency Regulation Intensifies: Thailand Blocks Unauthorized Platforms

Bitcoin’s investment appeal

Pote Harinasuta, CEO of ONEAM, highlighted the rationale behind introducing such a vehicle. He said digital assets like Bitcoin offer a unique opportunity for investors to diversify their portfolios. He further added,

“Digital assets are an alternative asset that has low correlation with other financial assets. They are suitable for helping investors diversify investment risks. Although Bitcoin’s supply is limited to 21 million, demand is increasing as it gains popularity. We see high growth potential for Bitcoin.”

The appeal of Bitcoin lies not only in its potential for high returns, but also in its volatility. This characteristic presents both opportunities and challenges for investors. BTC has shown an impressive average annual return of 124%, albeit with a volatility rate of 83%. To manage the associated risks, ONEAM recommends allocating only around 5% of portfolios to Bitcoin, expecting an annual return of around 8.9%.

The approval of the first Bitcoin ETF in Thailand reflects a broader global trend towards the adoption of cryptocurrency investment vehicles. With regulatory approvals and institutional adoption on the rise, cryptocurrencies are increasingly seen as a viable avenue for investors to gain exposure to digital assets.

Read also: Thailand announces intention to join the BRICS Alliance



Source

Related Topics:

Leave a Reply

Your email address will not be published. Required fields are marked *

Información básica sobre protección de datos Ver más

  • Responsable: Miguel Mamador.
  • Finalidad:  Moderar los comentarios.
  • Legitimación:  Por consentimiento del interesado.
  • Destinatarios y encargados de tratamiento:  No se ceden o comunican datos a terceros para prestar este servicio. El Titular ha contratado los servicios de alojamiento web a Banahosting que actúa como encargado de tratamiento.
  • Derechos: Acceder, rectificar y suprimir los datos.
  • Información Adicional: Puede consultar la información detallada en la Política de Privacidad.

Trending

Exit mobile version