THAILAND LAW AND PRACTICE Contributed by: Wongsakrit Khajangson, Panupan Udomsuvannakul, Koraphot Jirachocksubsin and Pitchaya Roongroajsataporn, Chandler Mori Hamad a
national co-operation to create a seamless and effi - cient payment network. Regulation of the Digital Asset Market and Businesses Several significant regulations and guidelines regard - ing the digital asset market and business have been issued by relevant regulators, requiring digital asset business operators to be subject to numerous addi - tional obligations in their business operations and marketing plans. Among these, the most impactful included the Securities and Exchange Commission of Thailand (SEC), in joint consideration with the BOT and the Ministry of Finance (MOF), enacting a notifica - tion prohibiting digital asset business operators from using digital assets as a means of payment for goods and services. This led to an abrupt decline in the use of digital assets as a means of payment. The SEC also put in place regulations imposing more restric - tions on businesses – eg, the prohibition of privacy coins to prevent digital assets being used for illegal activities, and limitations on the advertising of digital assets. However, in 2024, the SEC issued an exemp - tion from this restriction for the operation of digital asset businesses, specifically for the programmable payment tests under the BOT’s regulatory sandbox. Following these sandbox initiatives, regulatory focus has evolved towards the development of a Thai baht- backed stablecoin framework (the “THB Stablecoin”), designed to operate on a one-to-one, fully backed basis, whereby each unit of the THB Stablecoin is pegged to one Thai baht. This initiative is intended for use within the financial sector and is accompa - nied by efforts to define the permissible scope of THB Stablecoin business activities in Thailand under the supervisory approach of the BOT, including compli - ance with applicable prudential, consumer protection and risk management requirements. The establishment of a clear, proportionate and opera - tionally workable regulatory regime for THB Stable - coin businesses is expected to support the further development of Thailand’s financial system, enhance consumer protection and mitigate potential systemic risks to the broader financial sector. In parallel, the SEC updated governance and advertis - ing standards and advanced a draft amendment to the
Emergency Decree on Digital Asset Businesses B.E. 2561 (2018) (the “Digital Assets Decree”) to streamline initial coin offering (ICO) oversight and clarify scope, while maintaining the prohibition on payment use. In addition, in 2025, the SEC issued an amendment to the Digital Assets Decree, which marks the first update to the primary legislation governing digital assets in Thailand. The amendment primarily aims to strengthen regulatory oversight and combat technolo - gy-related crimes by extending licensing requirements to digital asset business operators located outside Thailand that provide services to persons in Thailand, including through solicitation or targeted activities. The amended decree also enhances enforcement powers, including the ability to restrict access to non- compliant platforms. The SEC continues to update its rules to keep pace with digital asset-related changes, protect investors and support market development. Notable recent actions include the launch of a digital asset regulatory sandbox to facilitate innovation under controlled con - ditions and the ongoing refinement of advertising and governance standards for digital asset businesses. In 2026, regulatory discussions around the SEC’s potential introduction of a relaxed framework to sup - port the tokenisation of environmental assets (eg, carbon credits and renewable energy certificates) are expected to broaden the range of permissible digital asset products on licensed exchanges, aligning finan - cial innovation with Thailand’s net-zero goals. Digital Transformation in the Thai Financial Sector In addition to the surge in digital payments in Thai - land, digitalisation has been systematically integrated into diverse facets of the country’s financial services industry. This evolution is evident in: • the increasing number of service providers – and subsequent rising competition – in the digital sav - ings or e-savings market; and • the enhancement of regulatory sandboxes, which, coupled with the relaxation of certain legal restric - tions, aims to promote a more diverse range of digital service experiments within Thailand’s finan - cial sector, including programmable payment and
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