Thailand has put crypto investment rules into effect while its central bank gathers feedback on possible oversight of baht stablecoin businesses, setting separate tracks for digital asset funds and payment tokens.
The Securities and Exchange Commission (SEC) issued 11 notifications on Oct. 8 for crypto exchange-traded funds, with the requirements taking effect Oct. 16. Funds may initially invest in Bitcoin (BTC) and Ether (ETH). Each fund must use a passive strategy and, averaged over its accounting year, keep net exposure to one crypto asset at or above 80% of its net asset value. Trading is limited to the Stock Exchange of Thailand, funds must use SEC-regulated digital asset custodians, and securities companies may not provide margin loans for ETF purchases.
The SEC says the framework is intended to widen investment choices while providing investor protections. Its announcement did not name an approved fund or a listing date.
The Bank of Thailand (BOT) is consulting from Oct. 19 through Nov. 17 on regulatory principles to guide later rules for businesses related to Thai baht stablecoins. The proposal describes a fully backed digital token pegged to the baht, with possible use in selected payments involving distributed ledger technology and tokenized assets. The BOT presents the tokens as a complement to existing payment systems.
Under the proposed arrangement, issuers would create and redeem tokens and manage the assets backing them. Wallet providers would offer storage, transfers, payments and trading or exchange services. The BOT would initially limit the number of issuers but would not cap licenses for qualified wallet providers. It says the issuer limit is intended to support stability, trust and network effects, while open licensing for wallet providers would support competition. The principles remain under consultation, not final rules. The BOT also says several countries have begun testing or using tokenized money, including stablecoins.
Other capital-market measures are at different stages. SEC rules covering the sale and redemption of tokenized mutual fund units took effect April 1, with faster transaction processing as the stated aim. The Cabinet approved four draft capital-market laws on Aug. 25. They include provisions for electronic capital-market processes and providers of systems significant to the capital market; parliamentary consideration and publication in the Royal Gazette are still required before they take effect.
Separately, the SEC and BOT discussed stablecoin transaction oversight with digital asset businesses in August. The SEC cited money laundering, cybercrime and evasion of international money-transfer rules as risks. SEC Deputy Secretary-General Jomkwan Kongsakul said the discussion aimed at “enhancing the supervision” of such transactions.
The BOT consultation closes Nov. 17. Parliamentary consideration remains a step for the four draft capital-market laws.
