Thailand’s Securities and Exchange Commission (SEC) announced on Monday that it is including stablecoins USDT and USDC to its list of approved cryptocurrencies that can be used in digital asset transactions. The move is consistent with the government’s aim to expand Thailand’s digital asset industry, strengthen market flexibility, and provide greater payment options for investors and traders in the country’s digital asset sector. The regulation approving the inclusion of these stablecoins as sanctioned cryptocurrencies is expected to take effect on March 16, 2025.
On top of the newly added USDT and USDC, the SEC’s current list of cryptocurrencies allowed to be used for Initial Coin Offerings (ICOs) and certain digital asset transactions include Bitcoin, Ethereum, Ripple, Stellar, and sandbox-issued cryptocurrencies. According to current regulations, all the listed currencies and Thai Baht can be used by during Initial Coin Offerings (ICOs), issuers, and digital asset exchanges.
This regulatory update also introduces a key change for digital asset exchanges in Thailand. Previously, many exchanges only created liquidity for tokens in Thai Baht (THB), requiring users to convert digital tokens into THB before trading for another cryptocurrency. While this was not a legal requirement, it was a limitation based on exchange liquidity models.
With the SEC’s new regulation, exchanges can now facilitate direct trades between a digital token and any of the approved cryptocurrencies, which could reduce transaction costs and inefficiencies for traders.
Thailand’s Regulations on Cryptocurrencies: Balancing Innovation and Risk Management
Thailand’s regulatory framework for digital assets has matured significantly in response to the growing influence of cryptocurrencies, digital tokens, and blockchain applications across various industries. The Bank of Thailand (BOT) and the SEC have adopted a structured, cautiously progressive stance, balancing financial stability, consumer protection, and cybersecurity while allowing controlled experimentation in the digital asset space.
The BOT maintains a restrictive stance on cryptocurrency payments, citing concerns over price volatility, cyber risks, and money laundering. While crypto transactions are not banned, they are classified as private barter contracts under Thailand’s Civil and Commercial Code. High-value transactions—especially those related to real estate—fall under Anti-Money Laundering (AML) scrutiny. However, in a bid to foster innovation, the BOT introduced an Enhanced Regulatory Sandbox in June 2024, enabling financial service providers to test distributed ledger technologies (DLT) and smart contracts for programmable payments under a controlled environment. This initiative does not signal a policy reversal but provides a legal testing ground for select participants.
The SEC enforces strict oversight of digital asset businesses, particularly through Regulation 5/2565, which regulates licensed exchanges, brokers, and custodians from facilitating crypto payments. The updated regulation, revised in September 2024, grants exemptions to operators participating in the BOT’s sandbox, allowing them to process digital asset payments under defined conditions, such as listing the types of cryptocurrencies that can be used.
Beyond payment restrictions, Thailand also enforces strict advertising and broker agent regulations to protect consumers. Under Notification No. KorThor 19/2565, digital asset service providers must obtain SEC approval for advertising campaigns and comply with strict content disclosure rules. Introducing broker agents, meanwhile, are limited to promoting digital tokens and are prohibited from approving accounts or providing trading advice.
Disclaimer: This article is intended solely for informational purposes and does not constitute legal advice. As digital asset regulations continue to evolve in Thailand, we recommend consulting legal professionals for specific guidance on digital asset activities in Thailand. For further assistance, please contact Silk Legal at [email protected].
