Thailand's capital market has marked a new milestone in sustainable finance after the country's first environmental investment token, Blu Green Token (BLU), completed its initial offering and began trading on the secondary market yesterday, paving the way for broader adoption of tokenised real-world assets (RWAs) linked to environmental projects.
The token, issued by Siam TC Technology (STCT), a subsidiary of Ditto (Thailand) (Ditto), mobilised 480 million baht through the offering of all 400 million tokens at 1.20 baht apiece during its offering from July 3-13.
The issuance was conducted through Token X, an initial coin offering portal licensed by the Securities and Exchange Commission (SEC).
BLU is Thailand's first digital investment token backed by mangrove forest carbon credits, with proceeds earmarked to finance mangrove restoration projects that generate carbon credits on a commercial basis.
The token began trading on Bitkub's digital asset exchange on July 20, allowing investors to buy and sell the tokens in the secondary market. The listing is viewed as a significant step because it provides liquidity, one of the key factors needed for digital investment tokens to gain wider acceptance among both retail and institutional investors.
Ditto chief executive Takorn Rattanakamolporn said the offering attracted strong demand from institutional, retail and large corporate groups, including companies in the food supply chain seeking exposure to sustainability-related investments.
The successful fundraising demonstrates growing investor confidence in digital assets linked to real environmental projects while offering an alternative investment channel that combines financial returns with sustainability objectives, he noted.
TOKENISING CLIMATE FINANCE
For Thailand's capital market, the success of BLU demonstrates how RWAs can be tokenised, enabling investors to participate in projects that were previously difficult to access while broadening funding sources for climate-related initiatives.
Token X chief executive Jittinun Chatsiharach said the project showcases how blockchain technology can transform RWAs into investable digital products, helping to expand the alternative investment market and support the long-term prospects of Thailand's digital asset ecosystem.
The secondary market listing will further strengthen the ecosystem by providing price discovery and liquidity for token holders, potentially encouraging more issuers to launch similar products backed by infrastructure, renewable energy or other sustainability-related assets, he said.
ASSOCIATED RISKS
Despite its landmark status, the SEC cautioned that BLU remains a digital investment token, meaning investors should evaluate both its potential returns and associated risks.
Unlike conventional equities or bonds, returns depend on the underlying project's performance, including the generation and monetisation of carbon credits. Token prices in the secondary market may also fluctuate based on supply and demand, investor sentiment and expectations for the carbon credit market.
Liquidity could improve with secondary trading, but trading volumes may initially be limited as the market for tokenised RWAs is still at an early stage in Thailand. Investors should also understand the project's structure, token rights, expected cash flows and regulatory disclosures before investing.
The successful launch, nevertheless, signals that Thailand is entering a new phase where digital tokens backed by sustainable RWAs could become an increasingly important fundraising and investment tool, complementing traditional capital market products while supporting the country's transition towards a greener economy, the regulator said.
