You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

April 18, 2025

Thailand Amends Emergency Decree on Technology Crime

On April 12, 2025, Thailand published an amendment to the Emergency Decree on Measures for the Prevention and Suppression of Technological Crimes in the Government Gazette, with the regulation taking effect the following day.

Drafts of the amendment had been shared in recent months, and the final amendment of the decree contains some additional key revisions, such as narrowing the business operators subject to the decree’s requirements, reducing operators’ obligations, and establishing collaboration between relevant stakeholders to tackle technology crime.

These key revisions to the amendment are detailed below.

  • Business operators subject to the decree: The business operators covered under the decree now include only payment service providers under the Payment System Act and digital asset operators under the Royal Decree on Digital Asset Businesses. Digital platform services under the Royal Decree on Digital Platform Service Businesses That Are Subject to Prior Notification are no longer within the scope of the decree.
  • Definition of technology crime: The final version of the amendment removed the expanded definition of technology crime that had been included in a previous draft, leaving the decree’s existing definition unchanged.
  • Telecommunications provider obligations: Mobile and telecommunications service providers now have an obligation to monitor and screen for content that may be related to technology crime and suspend SIM cards when instructed to do so by the National Broadcasting and Telecommunications Commission (NBTC).
  • Transaction and account suspension: The amendment removes the decree’s complex transaction suspension procedures and leaves room for business-specific regulators (e.g., Bank of Thailand, Securities and Exchange Commission, NBTC) to impose various technology crime suspension requirements on business operators under their supervision. The newly established Center for Prevention and Suppression of Technology Crimes can also notify financial institutions and business operators of names or digital asset wallet addresses that may be related to technology crime, triggering an obligation to suspend the accounts.
  • Shared liability: Although digital platform service providers are not in the scope of business operators under the amended decree, online social media platform operators are still jointly accountable with other operators (i.e., financial institutions, business operators, and related service providers) for damages from technology crime. To be released from this liability, operators have to prove their compliance with the technology crime standards and measures stipulated by their regulators (safe harbor rules).

Business operators will need to wait and see how their sector-specific regulators impose requirements to combat technology crime. Online social media platforms should closely monitor the safe harbor rules, which are expected to be issued soon.

RELATED INSIGHTS​ 

September 20, 2024
On September 12, 2024, the Bank of Thailand (BOT) Notification Re: Virtual Bank Supervision Criteria took effect. According to this notification, virtual banks must adhere to standards for traditional commercial banks, along with additional requirements tailored to address virtual banks’ digital nature and corporate structure. Specific Requirements The concepts of supervision remain unchanged from the consultation paper titled “Criteria for Supervising Virtual Banks”. Some of the key additional provisions and details on supervision criteria relate to the following: Financial business groups: The notification identifies virtual banks as financial businesses, subject to the BOT’s regulations on financial business group supervision. If a virtual bank is a part of another financial institution’s financial business group, the virtual bank must be under a solo consolidated group. After the “initial phase” (see below), other financial institutions and companies within the financial business group are prohibited from extending credit to or engaging in transactions similar to lending activities with the virtual bank. Capital fund requirements: If other financial institutions’ investment in a virtual bank increases the capital fund in the financial system beyond a safe level and this poses a risk to other financial institutions, the BOT may order the relevant financial institution to maintain capital funds as the BOT deems appropriate. Service channels and outsourcing: Virtual banks must provide services solely through digital channels, except when necessary. For example, with the BOT’s approval, a virtual bank may use other commercial bank electronic branches via an ATM pool system, use a banking agent to serve customer needs for cash, or occasionally provide on-site services. Initial Phase The “initial phase” runs from the date that the virtual bank commences its operations until it receives the BOT’s approval to become fully operational. During this period, certain BOT supervisory requirements are relaxed as follows: Governance: Virtual banks in the initial phase may request
September 16, 2024
On July 23, 2024, the State Bank of Vietnam (SBV) published a draft circular regulating the implementation of open (publicly available) application programming interfaces, or Open APIs, in the banking industry (Draft Circular) to collect public comments. Open APIs in the banking sector are APIs of banks that allow third parties to process data for their own use or to provide products and services to customers. Urgent need Currently, the development of Open APIs in Vietnam is fragmented, with each bank using different API standards and security standards. There is no common standard for information technology systems, information storage, security, connectivity, or legal frameworks. Therefore, the promulgation of a regulation on Open APIs is urgently needed to create a clear legal basis and guidance for electronic banking transactions, especially in connecting to bank information systems and processing customer data safely, and creating new, innovative products and services to meet the increasing needs of customers. Cooperation of banks required The Draft Circular requires banks to provide Open API services to third parties for connection to the bank system and data processing. Banks have the right to refuse or suspend Open API services if third parties do not meet specified conditions. However, banks will be responsible for ensuring the quality and security of data, providing tools for customer data queries and revocation of third-party data processing rights, and coordinating with third parties and authorities to resolve issues. The Draft Circular standardizes Open API functions for all banks according to the Open API function list and the technical standards list specified in the Draft Circular. Open API service contract The template Open API service contract between banks and third parties using Open API services must have certain required contents such as provisions regarding confidentiality, data use purpose, and that the security level
September 10, 2024
In recent years, Thailand has witnessed a significant transformation in its financial landscape, particularly in the rapid adoption of financial technology (fintech). At the forefront of this evolution are electronic payment systems and services, which have revolutionized how individuals and businesses conduct financial transactions. This transformation has been driven by both traditional financial institutions and alternative financial service operators. Overseeing this dynamic landscape are two primary regulators: the Bank of Thailand (BOT) and the Securities and Exchange Commission (SEC). This article explores the development of electronic payment systems in Thailand, with a particular focus on the Payment Systems Act (PSA) of 2017 and its role in shaping the fintech ecosystem. Payment Systems Act In October 2017, Thailand took a significant step forward in regulating its burgeoning electronic payment sector by adopting the Payment Systems Act. This landmark legislation was designed to create and ensure electronic payment system stability and enhance consumer protection in the digital financial realm. The PSA establishes a comprehensive framework by categorizing electronic payment businesses into two main categories: payment systems and payment services. Electronic Payment Systems under the PSA The PSA recognizes two types of electronic payment systems that require specific licenses or registration: Central or network systems. These include systems that act as a center or network between service users for fund transfers, clearing, or settlement. Examples include: Inter-institution Fund Transfer System Payment card networks Settlement systems Systems of public interest. This category encompasses any other payment systems that may affect public interest, public confidence, or the stability and security of the payment infrastructure. Electronic Payment Services under the PSA The PSA also identifies several electronic payment services that require specific licenses or registration: Credit cards, debit cards, and ATM cards Electronic money E-payments Acquisition Payment facilitation Receipt of payment on behalf of others
August 29, 2024
Thailand’s Securities and Exchange Commission (SEC) has revised its regulations on digital asset operators and exchanges to impose stricter governance standards on digital asset business operators and to align digital asset exchange rules with international standards. The new regulations are laid out in SEC Notification No. GorThor. 23/2567 on the Criteria, Conditions, and Procedures for Operating a Digital Asset Business (No. 24) and SEC Notification No. GorLorThor. 24/2567 on Determination of Prohibited Qualifications for Directors and Executives of Digital Asset Business Operators (No. 5). These were published in the Government Gazette on August 16, 2024, with most of the provisions taking effect on the same date. Governance for Digital Asset Businesses The heightened standards for digital asset business operators aim to ensure efficient business supervision and appropriate response to operational risks. The new requirements mainly address: Board of directors composition. Large-sized digital asset business operators (i.e., those with at least 10,000 customers and holding customer assets of at least THB 500 million) who do not provide digital asset custodian services must have at least five directors, at least two of whom must be independent directors. In addition, the business operators must establish an audit committee, with at least two members being independent directors, to create an appropriate “check and balance” mechanism within the organizational structure. Current digital asset business operators must comply with the requirements within 180 days of the notification’s effective date. Qualifications of authorized directors and managers. Authorized directors and managers are now required to (1) either have at least one year of working experience in the digital asset field or have participated in a digital asset course from an SEC-approved list, and (2) participate in a good corporate governance course recognized by the SEC. Current authorized directors and managers who have not previously completed a good