The Securities and Exchange Commission of Thailand is revolutionizing the crypto industry in the country. Thailand SEC has turned the wheels by introducing new and crypto-friendly regulations for the locals. They published their updated regulatory framework in the first month of the year.
The Thailand SEC regulates digital assets under the Digital Asset Business Decree. This involves trading, sales, and Initial Coin Offerings. The cryptocurrency businesses that are running in Thailand need to receive licenses. Moreover, they also need to comply with the rules set by the SEC as mentioned in the Decree.
The updated regulatory framework by the SEC removes the limit of retail investors for asset-backed tokens. Thereafter, creating a new rule for the custodians. However, it also means giving the agency a huge role in monitoring the crypto businesses.
SEC’s removal of the investment limit for retail crypto investors has lit quite a spark in the real estate and infrastructure industry. Earlier, real estate investors had a limitation of up to $8400 for every offering in asset ICOs.
The new crypto-friendly rule has widened the market for crypto investors. Thereafter supporting the growth of Thailand’s digital asset market. However, the new update by the SEC also requires experts for custodial crypto wallet management. Moreover, the providers of these must be subsidiaries of the openly listed companies with a great track record of safe securities storage.
Also Read: Top Crypto Exchanges in the USA in 2024
With the new crypto-friendly regulatory framework, the SEC is now more involved in the business expansion in Thailand’s crypto sector. Therefore, any company that is planning to grow within the country, must seek permission from the SEC. Thereafter, ensuring the expansion plans of the business align with the new SEC regulations.
As per the Bangkok Post, Thailand SEC did not approve Bitcoin ETFs. The decision is similar to that of South Korea, as the country did not allow Bitcoin ETFs in domestic markets.
An official from the South Korean Financial Services Commission shares that their government has been consistent about their disapproval of people investing in cryptocurrencies. This is mainly to protect investors and stabilize the economic market.
Such measures were prominent after the financial market of South Korea was significantly hit by Terra USD and LUNA. Both the digital assets were by Du Kwon, a businessman from Korea.
The mid January launch of Binance Thailand will strengthen the crypto industry in the country. Moreover, Binance Thailand will allow crypto exchanges with Thai Baht trading pairs. Furthermore, cooperating with local Thai banks, and collaborating with Binance Kazakhstan for brokerage services. However, all of these will be under the supervision of Thailand SEC.