This is exactly how it was in the 90's. Only santioned in very few states and took a very long time before it was sanctioned. I believe there will be an underground scene. It may take a few years or decades, but they'll accept it sooner or later. Why? Simply because of demand. Their fighters will begin to leave one by one. If you're training right now presently what would you focus on knowing that this particular type of sport will help feed your family.
C.) Muay Thai
F.) Or all of the above with the goal of entering MMA competition.
Thailand will ALWAYS have Muay Thai. It's this old world thinking that reflects their lack of vision. If they opened their doors they would see their gyms booming. Everybody in MMA trains in Muay Thai + BJJ regardless. It's the staple now followed by wrestling and other traditional martial arts from their region.
Marcus Aurelius: Tell me again, Maximus, why are we here?
Maximus: For the glory of the Empire, sire.
Baked, not fried... the healthy choice.