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

March 12, 2024

Thailand Unveils Virtual Bank Licensing Framework

Subscribe to Updates

Thailand’s Ministry of Finance has issued the Notification re: Criteria, Methods and Conditions for Applying for and Issuing Licenses to Operate Virtual Bank Business, which was published in the Government Gazette on March 4, 2024. This notification opens an opportunity for qualified experts in technology, digital services, and diverse data usage fields to apply for virtual bank licenses to provide financial services through new digital channels. The main goal is to serve the financial needs of target groups that may not have received sufficient or tailored financial services from the traditional banking system.

Licensing Timeline

  • Application submission period: 6 months (March 20–September 19, 2024).
  • Announcement of successful applicants: Mid-2025 (approx. 9 months–1 year from the end of the submission period)
  • After the announcement, successful licensees must demonstrate their readiness to commence virtual bank operations within 1 year (extendable for up to 1 additional year) via the following:
    • Having paid-up registered capital of THB 5 billion and plans to increase the paid-up registered capital to at least THB 10 billion after the initial business period;
    • Establishment or adjustment of a financial business group;
    • Procurement of human resources, IT systems, and relevant risk management tools.

Number of Licenses to be Issued

No written or specified limit, subject to the discretion of the Bank of Thailand (BOT).

Key Qualifications

Applicants must have the following:

  • Experience and resources to support virtual banking operations according to the business model and plan.
  • Expertise and experience in conducting business that utilizes technology and provides services through digital channels.
  • Experience demonstrating the ability to obtain, access, manage, and utilize data, including development of systems or data connections to facilitate user activities, allowing them to use their data to conduct transactions with other providers.

Criteria

In assessing applicants’ qualifications for a virtual bank license, the BOT will consider the following criteria:

  • Whether the applicant possesses the key qualifications;
  • Whether the applicant can conduct business operations following the BOT’s expected green line (i.e., financial services meet customers’ needs, good customer experience, fair competition) and avoiding its red line (i.e., unsustainable business operations, inappropriate competition, stakeholder conflict of interest);
  • Whether the applicant has the potential and ability to operate a virtual banking business using flexible, sustainable, secure, and trusted technology; knowledge, skills, and appropriate governance; ability in risk management, financial business, and maintenance of a strong culture of risk mitigation; and status and financial support from shareholders.

For more information on Thailand’s regulations pertaining to virtual banks or any other financial technology, please contact Athistha (Nop) Chitranukroh at [email protected], Pornpan Wichawut at [email protected], or Rada Lamsam at [email protected].

Related Professionals

Industries

Fintech

Technology

Practices

Banking and Finance

Location

RELATED INSIGHTS​ 

July 17, 2025
On July 9, 2025, Thailand issued a notification that introduces comprehensive operational requirements for digital platform service providers operating as goods marketplaces, effective December 31, 2025 (i.e., 180 days after its publication in the Government Gazette). The regulation’s official name is Notification of the Electronic Transactions Committee Re: Other Actions for Digital Platform Service Operators in the Category of Marketplace for Goods with Specific Characteristics under Section 18(2) of the Royal Decree on the Operation of Digital Platform Service Businesses that are Subject to Prior Notification B.E. 2565 (2022), B.E. 2568 (2025). Scope of Application The notification applies exclusively to goods marketplace operators formally designated by the Electronic Transactions Development Agency (ETDA), which on the same day designated 19 platforms that had previously notified the ETDA of their operations. The goods requiring enhanced oversight by these operators are limited to those regulated by the Thai Food and Drug Administration (FDA) and the Thai Industrial Standards Institute (TISI). Development from Earlier Draft An earlier draft of the notification had included a requirement for offshore platforms to establish a local entity, but this requirement was removed from the final notification. Key Obligations Despite the removal of the local entity requirement, the notification imposes a range of additional obligations on designated goods marketplace operators: Transparency. Operators must implement robust transparency measures, including clear, accessible, and understandable disclosures to users in Thai. These disclosures must cover all relevant terms and conditions, comprehensive product information, and complaint management procedures. Operators must also submit an annual compliance report to the ETDA within 60 days after the end of their accounting period, including statistics on regulated goods. Business user registration and identity verification. Before permitting the sale or advertisement of regulated goods, operators must collect and verify business user information, including contact details, identification documents, registration
Read More
July 15, 2025
Thailand has established new safe harbor rules that require social media platforms to remove specified content within 24 hours of government notification. On July 5, 2025, the Notification of the Electronic Transactions Commission on Measures to Prevent Technological Crimes for Social Media Service Providers was issued and took effect. This followed a hearing in May 2025 where only a select group of social media and online communication platform operators were invited to attend and comment on draft rules that could exempt social media platform operators from joint liability under the amended Emergency Decree on Measures for the Prevention and Suppression of Technological Crimes in cases involving victims of technological crimes. Safe Harbor Rules The notification stipulates procedures that must be followed in order to receive the protection of the safe harbor rules. Upon being notified by the Division of Prevention and Suppression of Cybercrime, Office of the Permanent Secretary of the Ministry of Digital Economy and Society (MDES) of the presence of false or misleading information that may lead to the commission of a technological crime, social media service providers must immediately take down the specified content, with a maximum allowable turnaround time of 24 hours from the time of receiving the notification. Social media service providers are required to promptly report the outcome of each takedown to the MDES Division of Prevention and Suppression. This shift in Thailand’s regulatory approach to social media content moderation establishes clear government oversight mechanisms while providing platforms with liability protection for compliance. As the new rules took immediate effect, social media platforms need to ensure that they have adequate systems and processes in place to comply with the requirements.
Read More
July 11, 2025
Vietnam’s recent embrace of “regulatory sandboxes” reflects a deliberate policy choice to balance the need for robust oversight with an equally pressing imperative to catalyze innovation. A sandbox is a controlled, time-bound framework in which businesses may pilot emerging technologies, products, or business models under relaxed or tailor-made regulatory requirements, thereby allowing regulators to observe risks in real time while innovators validate commercial viability without bearing the full weight of the traditional compliance regime. By issuing sandbox regulations, the government of Vietnam is signaling its commitment to accelerating digital transformation, attracting investment, and developing a knowledge-based economy, all while safeguarding financial stability, consumer protection, and national security. This strategy is embodied in a suite of instruments that together establish sector-specific sandboxes: Decree No. 94/2025/ND-CP on the Regulatory Sandbox in the Banking Sector (Fintech Sandbox Decree), effective July 1, 2025. Law on Digital Technology Industry (DTI Law), effective January 1, 2026, and Law on Science, Technology and Innovation (STI Law), effective October 1, 2025. Resolution No. 222/2025/QH15 on International Financial Centers (IFC Resolution), effective September 1, 2025. In addition, a draft resolution on the pilot implementation of the crypto-asset market (Draft Crypto Pilot Resolution) is expected to introduce a dedicated sandbox for crypto-asset service providers later this year, further underscoring Vietnam’s holistic, forward-looking approach to regulating emerging technologies. Below is a brief summary of all the regulatory sandboxes, who they are open for, and what businesses are attracted. Fintech Sandbox Decree Under the Fintech Sandbox Decree, besides credit institutions and foreign bank branches, fintech companies operating in Vietnam can apply for a Certificate of Sandbox Participation issued by the State Bank of Vietnam to operate any of the following services in Vietnam: Credit scoring: A solution applicable to information technology systems of credit institutions, branches of foreign banks, and fintech
Read More
July 11, 2025
On June 10, 2025, Thailand’s Supreme Administrative Court accepted for consideration a pivotal lawsuit concerning the regulatory obligations of administrative agencies over internet-based television broadcasting services, commonly referred to as over-the-top (OTT) services. This court’s decision in the case may set important precedents for how OTT platforms are regulated, especially regarding consumer protections and advertising practices. Background A user of an OTT television application initiated legal action against the National Broadcasting and Telecommunications Commission (NBTC) and related officials, alleging that the lack of clear regulatory criteria and oversight allowed OTT operators to broadcast general television content while compelling users to view advertisements before and during programming. The plaintiff argued this constituted consumer exploitation and claimed that the responsible authorities neglected or delayed their statutory duties under the Act on the Organization to Assign Radio Frequencies and Regulate Broadcasting, Television, and Telecommunications Services B.E. 2553 (2010). Initially, the Central Administrative Court declined to accept the lawsuit. However, on appeal, the Supreme Administrative Court determined that the claim fell within its jurisdiction, noting that OTT television services—defined under section 4 of the governing act—are subject to the same regulatory framework as traditional television services, regardless of the transmission method (frequency, cable, internet, or other system). Implications for OTT Services The key implications for OTT services concern the following issues: Regulatory oversight: The court recognized that OTT television services are explicitly covered under Thailand’s broadcast regulatory regime. Regulatory agencies may be compelled to establish clear operational rules and oversight mechanisms for OTT providers. Consumer protections: The plaintiff’s claim that excessive or unavoidable in-program advertising constitutes consumer exploitation was acknowledged as a matter of public interest. This may prompt stricter advertising standards for OTT platforms. Licensing requirements: The case raises the prospect that OTT operators may be required to obtain licenses from the
Read More