In a significant development on December 5, 2023, the Central Bank of Myanmar (CBM) issued Letter No. FE-1/2937 granting authorized dealer licensed banks (ADLBs) the authority to freely transact in foreign currency trades, buying and selling at the market exchange rate for Myanmar kyat (MMK) as proposed by buyers and sellers through online trading platforms. Offshore remittances, however, must comply with the remittance criteria set by the Foreign Exchange Supervisory Committee. The online trading platform Refinitiv, initiated in June 2022 under the CBM’s guidance, facilitates the buying and selling of foreign currency between ADLBs and between banks and customers. The initiative was implemented in accordance with CBM Letter No. FE-1/789, dated June 21, 2023. The platform’s inception saw the exchange rate set at over MMK 2,900 per USD 1. Then, in August 2023, the CBM ordered banks and traders to limit foreign exchange transactions to an approved online trading platform, again with the exchange rate fixed at MMK 2,900 per USD 1. Transactions outside of online trading platforms continue to be governed by the exchange rate set by the CBM of 2,100 MMK per USD 1. Conversion Rules for Exporters On December 6, 2023, the CBM issued Notification No. 26/2023 lowering the percentage of Myanmar companies’ export earnings in foreign currency subject to mandatory conversion into MMK from 50% to 35% at the current official exchange rate set by the CBM at USD 1 to MMK 2,100. This mandatory conversion must follow the requirements for mandatory conversion of foreign currency, which remain in effect. For more details on foreign exchange developments, or on any aspect of financial regulations in Myanmar, please contact Tilleke & Gibbins at [email protected].

Thailand’s Securities and Exchange Commission (SEC) has updated its regulations regarding public initial coin offerings (ICOs) that exhibit debt-like or infrastructure-backed characteristics. These new regulations are set to transform the landscape for digital fundraising, ensuring enhanced investor protection and risk mitigation. The introduction of these regulations is a major move toward cultivating a more transparent and secure digital token market in Thailand. It highlights the importance of comprehensive information disclosure and aligning digital-asset fundraising practices with established financial standards. The adjustments require more collaboration between token issuers and ICO portals to comply with the developing regulatory environment. The key features of the new regulations, which took effect on November 16, 2023, are summarized below. Debt-Like ICOs Debt-like digital tokens are digital tokens for which a fixed rate of return is predetermined. The rate does not vary based on the performance of the project or enterprise, but it may be supplemented by extra returns. To ensure that investors have access to adequate and essential information prior to making informed investment decisions, and to evaluate the risk of default by the issuer, the regulation requires disclosure of the project’s creditworthiness and risk assessment factors, as detailed below. Project creditworthiness. Disclosures about project creditworthiness should include information about the credibility assessment of the project, which should be conducted reasonably by an ICO portal or an independent expert. Risk assessment factors. Disclosures should include information about the factors considered in the assessment of risks—particularly the financial capability to repay the investment project’s debt. Infrastructure-Backed ICOs Infrastructure-backed digital tokens are issued for investment in infrastructure assets or to earn a share of the revenue stream from infrastructure projects. The regulations for the ICOs of these infrastructure-backed tokens have been revised to align with those for infrastructure trusts. These regulatory updates cover various aspects: Definition

The emergence of generative artificial intelligence (AI) has transformed the landscape for innovators and creators. As many legal practitioners have pointed out, it’s imperative for both developers of AI and artists using generative AI to understand the intricacies of intellectual property (IP) strategies so they can navigate this evolving terrain successfully. This article lays out some essential considerations relating to the major types of IP for both developers and creators in the realm of generative AI. IP Strategies for Developers of Generative AI Developers of generative AI technologies play a pivotal role in the innovation landscape. There are three overarching IP-related issues to consider: protecting their own intellectual property, mitigating the risk of violating other people’s IP rights, and IP commercialization. Key aspects of these concerns, along with suggested approaches for developers, are outlined below. Protecting IP Copyrights. One of the primary considerations for AI developers is the protection of AI-generated works, such as art and source code. The good news is that in most countries, these creations enjoy copyright protection without the need for registration. As a result, the works are automatically protected from the moment of creation. However, it’s crucial to maintain comprehensive records of your work to establish your ownership. Trademarks. Trademarks are vital for AI developers looking to establish and protect their brand. Pay close attention to Nice classifications, particularly class 9 (for software), class 35 (for business management and online marketing), and class 42 (for software design and development). Registering trademarks in these classes can provide robust protection for your brand and products. Patents. For truly innovative AI algorithms, techniques, or processes, consider the option of patenting. Patents offer strong protection, but they require a thorough application process and the documentation of your innovation, including evidence that the invention is novel, non-obvious, and practically

Thailand’s Electronic Transaction Development Agency (ETDA) has released two new subordinate regulations under the Royal Decree on Digital Platform Services: one detailing the assessment of digital platform services (DPSs) that will be deemed “high-risk” and subject to additional obligations, and another setting guidelines on user verification and authentication for all DPSs. The two subordinate regulations are summarized below. Impact Assessment of DPS Operations Under the Royal Decree on Digital Platform Services, DPS operations that have the risk of seriously impacting financial and commercial security, reliability and credibility of data message systems, or the general public are subject to additional obligations. The first subordinate regulation mentioned above (officially titled Notification of the Electronic Transactions Commission Re: Criteria for Impact Assessment on Operation of Digital Platform Services) outlines the criteria for the ETDA to determine which DPSs are “high-risk.” DPSs falling under this designation include: DPSs whose total value of transactions conducted through the platform in Thailand exceeds THB 100 million (approx. USD 2.8 million) per year; DPSs whose operators have not registered their entities with the Department of Business Development (DBD)—notably overseas operators—and that have 100 or more merchants or business users in Thailand or total users in Thailand between 5 and 10 percent of the country’s population (i.e., approx. 3.3–6.1 million users, calculated using official 2022 figures); DPSs that allow their users to freely post certain messages, or do certain acts, that may affect the public in certain cases, such as: (1) unlawful messages or acts; (2) messages or acts that may affect a child’s rights or people’s fundamental rights; and (3) messages or acts that may negatively affect political opinions of Thai citizens (whether before or after an election) or statements or actions likely to negatively affect other individuals due to gender differences or sexual violence. After considering