Thailand's Digital Asset Act: A 3-Year Retrospective

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Introduction

Thailand's Digital Asset Business Emergency Decree B.E. 2561 (2018) (commonly known as the Digital Asset Act) came into effect on May 14, 2018. Over the past three years, the Thai Ministry of Finance (MOF), the Securities and Exchange Commission (SEC), and affiliated offices have issued multiple implementing regulations. This article examines key developments from May 2018 to February 2021.


1. Cryptocurrency Legalization

On September 11, 2018, Thailand’s SEC Office approved seven cryptocurrencies for ICO investments, trading, and use as transactional mediums:

Bitcoin (BTC)
Ethereum (ETH)
Ripple (XRP)
Stellar (XLM)
Bitcoin Cash (BCH) (Removed after 6 months)
Ethereum Classic (ETC) (Removed after 6 months)
Litecoin (LTC) (Removed after 6 months)

👉 Learn more about Thailand’s crypto regulations

Note: The SEC did not recognize these as legal tender.


2. Digital Asset Business Licenses

As of February 15, 2021, the MOF granted 14 licenses to 11 companies, including:

Rejected Applications: Failures were due to inadequate KYC systems, IT security, or AML compliance.


3. ICOs and ICO Portals

Despite interest, no ICO projects launched under the Act.

ICO Portals (licensed by SEC) handle due diligence, whitepaper reviews, and smart contract audits. Four companies received licenses:

  1. Longroot (Thailand)
  2. T-Box (Thailand)
  3. SE Digital
  4. BiTherb

4. Fund Managers & Advisors

The MOF’s October 19, 2020 notification added two roles:

Both require licenses to operate with tokens/cryptocurrencies.


5. Compliance Advisory Units

From January 1, 2021, operators must establish internal advisory units to:

Requirements:


FAQs

1. Can I trade cryptocurrencies in Thailand?

Yes, but only via SEC-licensed exchanges like Bitkub or Satang.

2. What happened to removed cryptocurrencies (e.g., Litecoin)?

They lost approval due to low adoption or regulatory concerns.

3. Are ICOs safe in Thailand?

Only if conducted through licensed portals.

👉 Explore Thailand’s crypto ecosystem


Conclusion

Thailand’s Digital Asset Act established a regulated crypto framework, balancing innovation with investor protection. Future amendments may address ICO adoption and DeFi integration.