According to a recent report from Bangkok Post, Thailand’s National Legislative Assembly has officially approved an amendment to the Securities and Exchange Act legalizing the issuance of tokenized securities.
This positive move will be followed by the SEC, the nation’s Securities and Exchange Commission, that will issue a series of detailed guidelines and rules for these specific tokenized blockchain securities such as stocks and bonds in the following couple of months.
The news was confirmed by SEC deputy secretary-general Tipsuda Thavaramara declared that “the implementation of the tokenization platform is expected to become effective this year.” She then followed by stating that “the SEC has amended the act to serve the tokenization platform in the future and will build up the digital asset ecosystem.”
Currently, cryptocurrency businesses in Thailand are regulated under the Emergency Decree of Digital Asset Businesses B.E. 2561 (2018). According to the report, whether a security token offering will be regulated under the royal decree of the securities act will be entirely up to SEC.
This will “depend on features of rights and obligations associated with that token,” the director of corporate communication department at the SEC, Pariya Techamuanvivit, declared.
SEC takes over Thailand Securities Depository’s responsibilities
What’s more, the current act has amended the act on scriptless issuance of securities and digital tokens for the primary market. The previous act allowed Thailand Securities Depository Co Ltd., a subsidiary of the Stock Exchange of Thailand, to be the only official body that could serve the SET securities trading operations.
Ultimately, the SEC intends to create a more powerful digital asset ecosystem within the country. “The SEC has amended the act to serve the tokenization platform in the future and will build up the digital asset ecosystem,” Mrs. Tipsuda declared.
In short, it means that all digital asset exchanges, brokers, dealers, or any form of officially recognized ICO portals, must now apply for a relevant license if they want to provide STO-related services, Pariya stated.