Seven cryptocurrency businesses were approved by Thai regulators, Aug. 16, to legally conduct digital asset operations as part of the country’s shift toward optimizing the local blockchain, ICO and cryptocurrency ecosystem.
Thailand’s Cryptocurrency Push
According to the Thai SEC, seven businesses are allowed to pursue their business as legally-recognized operators immediately. Among the businesses are several cryptocurrency exchanges–Bitcoin Company Ltd., Cash2Coins, Bitkub, Tdax and Coin Asset Exchange–and two OTC dealers–Coins.co.th and ThaiWM.
Earlier this year, on May 13, Thailand issued a royal decree that unveiled a series of “transitional” rules for the burgeoning, local cryptocurrency industry, which could arguably form a significant tax source. At the time, crypto businesses were allowed to serve customers during a 90-day period while awaiting their license application result.
Today, the elaborate, 100-section law book classifies all cryptocurrencies as “digital assets and digital tokens,” and brings the asset class under the Thai legal framework.
Previously, The Bangkok Post quoted the Thai Finance Minister Apisak Tantivorawong, who said the new regulations were not intended to cut down on crypto businesses or ICOs but were put in place to represent a framework for an optimal operating environment.
Two Exchanges Await License
Meanwhile, the Thai SEC has confirmed two additional digital asset exchanges have filed license applications under the “Transitional Provision,” with authorities currently reviewing the documents.
Earlier this month, the Thai SEC received substantial interest from token issuers seeking regulated status in the country; more than 50 companies reportedly sent applications, with only five meeting the prerequisites.
After receiving an application, the Thai SEC spends three months reviewing, researching and authorizing submitted documents. Afterward, the Thai Finance Ministry is tasked with final approval, which is determined over a two-month period.
In general, applicants must be based in Thailand, have significant registered capital and be considered to have “sound financial status.”
The Thailand government is fast adopting cryptocurrencies. First reported by CryptoSlate, Aug. 5, the Bank of Thailand has allowed local banks to establish crypto-specific subsidiaries to deal in and issue digital assets, invest in crypto ventures and provide brokerage services.
Cover Photo by Florian Wehde on Unsplash