HashKey Capital report shows Thailand emerging as a global crypto hub

In a groundbreaking report released by one of the largest crypto funds and the earliest institutional investor in Ethereum, HashKey Capital, the rapid ascent of Thailand in the global crypto economy takes centre stage.

The report highlights key indicators, from surging trading volumes to a dynamic regulatory landscape, showcasing Thailand’s pivotal role in shaping Asia’s crypto landscape.

Crypto surge in Thailand: a snapshot of the market

Thailand’s crypto market is witnessing an unprecedented surge, with HashKey Capital’s report revealing remarkable statistics. Monthly traffic to CoinMarketCap, a staggering 648,000 visits, demonstrates a crypto frenzy equivalent to 0.94% of the population.

Trading volume on leading exchanges in the country, including Bitkub, Bitazza, and Orbix, soared to $116.4 billion from January to October 2023. Bitkub commands a dominant 75% market share, underlining the nation’s fervour for digital assets.

This surge is further validated by Thailand’s tenth global rank in the Chainalysis Crypto Adoption Index, signifying extensive user activities across various crypto platforms.

Thailand’s crypto-friendly regulatory framework

A cornerstone of Thailand’s crypto success lies in its forward-thinking regulatory approach. The Emergency Decree on Digital Asset Businesses, B.E. 2561, mandates financial institutions to report digital asset investments, fostering regulatory adherence transparently.

The Securities and Exchange Commission of Thailand (SEC) meticulously oversees assets, ICOs, and digital asset businesses, issuing seven licenses. This robust framework ensures clarity in regulating coins, tokens, ICOs, exchanges, brokers, dealers, fund managers, and advisors.

Efforts are underway in Thailand to reclassify crypto as an investment product, aligning it with traditional assets and subject to a 7% transaction tax.

Key players in Thailand’s crypto landscape

Thailand’s crypto ecosystem is not only thriving but evolving with the entry of key players and innovative initiatives.

Major banks including Siam Commercial Bank (SCB) and KASIKORNBANK (KBANK), have ventured into the ICO portal business. Noteworthy is the acquisition of Satang by KBANK, rebranded as Orbix, adding to the competitive landscape.

Traditional enterprises like Gulf, in collaboration with Binance, are shaping the industry with joint ventures holding both digital asset broker and exchange licenses.

Digital asset advisory services, led by Cryptomind Advisory, have secured regulatory approval, marking a significant milestone.

The venture capital scene is also robust, with entities like SCB 10x and KX actively supporting digital asset ventures.

In addition, Thailand’s Web3 sector marked by projects like GuildFi, 3Landers, and LonelyPop, reflects a dynamic landscape driven by innovation and a regulatory framework that encourages growth.

Conclusion

This comprehensive report by HashKey Capital underscores Thailand’s growing influence in the global crypto economy and paints a picture of a nation embracing innovation, fostering a crypto-friendly environment, and positioning itself as a hub for meaningful advancements in the blockchain space.

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