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 26, 2022

Thailand’s SEC Updates Regulatory Framework for Digital Asset Business Operators

Subscribe to Updates

During the first quarter of 2022, Thailand’s Securities and Exchange Commission (SEC) announced a series of notifications aiming to strengthen the regulatory regime for digital assets while safeguarding investors’ interests. The updated rules and conditions apply to digital asset business operators licensed by the SEC.

The key features of the new notifications, which took effect in March and April 2022, are summarized below.

Custody of customers’ assets (effective March 1, 2022)

As custodians of their customers’ assets, digital asset business operators must:

  • Segregate customers’ assets in their custody so that the operators can clearly identify which assets belong to which investors. If customers’ digital assets are to be deposited with a third party, the operators must inform the customers accordingly.
  • Refrain from seeking benefits from customers’ assets in any manner other than the purpose for which the assets are held. This includes refraining from using customers’ assets to provide benefits to others or to the customers themselves, and from depositing customers’ digital assets with a custodian that intends to lend out the digital assets (but does not include giving the customer’s assets to a licensed digital asset fund manager for investment in digital assets).
  • Reconcile customers’ assets and keep evidentiary documentation for a period of at least five years.

Privacy coin services (effective April 1, 2022)

Digital asset business operators are prohibited from providing privacy coin services that can conceal (or allow the concealing of) specific transactional information, such as data about the transferor, the transferee, and the transfer amount.

Digital asset business operators that provided privacy coin services to customers before the effective date of these new regulations may continue to provide such services, but they must arrange for their customers to disclose at least the required transactional information or agree not to engage in information concealment.

Digital assets as a means of payment (effective April 1, 2022)

Digital asset business operators are prohibited from using digital assets as a means of payment and must not provide any services or undertake any activities that encourage or promote the use of digital assets to pay for goods or services. This includes:

  • Representing to any customer (through an advertisement, etc.) that the business operator will accept payment for goods or services using digital assets;
  • Establishing a system or tool facilitating the use of digital assets to pay for goods or services;
  • Providing e-wallets for the purpose of using digital assets as a means of payment;
  • Providing a service for transferring THB-denominated funds from a customer’s account to third-party accounts;
  • Providing a service for transferring digital assets from a customer’s account to third party accounts in order to pay for goods or services; and
  • Providing any other services that support the use of digital assets to pay for goods or services.

Business operators must take action (e.g., warnings, account suspension or termination, etc.) against customers who fail to comply with service terms and conditions.

Providing customers with activity reports (effective March 30, 2022)

The SEC now requires digital asset operators to provide their customers with a report, within one business day of a transaction, containing specific information about the customers’ digital asset trading, exchanging, and investment activity. Operators must retain the disclosed information for at least 18 months.

Although the requirement came into effect on March 30, there is an initial implementation stage until April 30, 2022, during which operators only need to provide reports to their customers within a reasonable period of time upon request. The reporting requirement will be fully implemented from May 1, 2022, onward.

For more information on the latest SEC rules and regulations for digital assets, or on any aspect of digital asset business or cryptocurrency in Thailand, please contact Kobkit Thienpreecha at [email protected], Onunya Chanpen at [email protected], Sorawit Partomtanasarn at [email protected], or Napassorn Lertussavavivat at [email protected].

Related Professionals

Industries

Technology

Practices

Capital Markets

Location

RELATED INSIGHTS​ 

November 24, 2025
A recent warning from the Central Bank of Myanmar (CBM) against cryptocurrency use upholds the country’s ongoing strategy of enforcing strict prohibitions on unauthorized cryptocurrency activities while also promoting the controlled development of a central bank digital currency (CBDC). The CBM’s warning, issued November 16, 2025, reminded the public of announcements in May 2019 and a notification in May 2020 confirming that all online and offline cryptocurrency transactions are strictly prohibited. The CBM also clarified that no financial institution in Myanmar is authorized to deal with digital currencies. The warning highlighted global risks, such as money laundering, scams, tax evasion, hacking, and severe financial losses caused by price volatility and insufficient regulation. The CBM urged the public to use only legitimate banking channels and avoid illegal cryptocurrency activities. The warning comes five months after the CBM issued a notification announcing the formation of the Central Committee for the Issuance of a Central Bank Digital Currency. This committee includes senior CBM officials, representatives from relevant ministries and the banking sector, and technology experts. Its main role is to research CBDC models, test secure digital payment systems, and ensure that any future implementation aligns with Myanmar’s monetary policy and financial stability objectives. Taken together, these two actions illustrate the CBM’s continued pursuit of its dual strategy to promote innovation through CBDC development while prohibiting cryptocurrency use. Businesses should note that while CBDC pilot programs may appear in the future, cryptocurrencies remain off-limits.
Read More
November 14, 2025
Interest in data center land acquisition has increased significantly over the past year, with a notable rise in inquiries from investors seeking to establish digital infrastructure in Thailand. Although the sector is still in its early stages, this emerging wave of development represents a significant shift in Thailand’s technology infrastructure landscape, driven primarily by multinational technology companies and operators looking to expand their regional presence. Project Development The data center sector in Thailand is attracting a diverse range of international investors, though with clear geographic patterns. Most investors are from China, Singapore, and Japan, with some additional interest from countries outside Asia, including the United States and Europe. This investor base consists primarily of multinational tech companies and operators seeking to establish new facilities rather than acquire existing assets. Data center business activities are also a sector promoted by Thailand’s Board of Investment (BOI), which offers investors both tax and nontax privileges as well as exemptions to foreign investment and land-ownership restrictions. Projects currently underway are still largely in the land acquisition and construction phase. Unlike more mature markets where many facilities are operational and generating revenue, the predominant focus in Thailand remains on securing suitable land and beginning the building process. This means that while interest is high and land assembly is accelerating, the sector as a whole has not yet reached the operational phase that will ultimately drive licensing applications and full regulatory compliance. The licensing process itself remains at an early stage, as most projects must first complete their facilities before applying for the specific licenses required from the telecommunications authority. Once the facilities are built, the next critical step will be obtaining these telecommunications licenses, which are mandatory for data center operations. Legal and Regulatory Considerations The complexity of data center development in Thailand requires
Read More
November 12, 2025
Thailand’s Customs Department has announced the cancellation of the longstanding de minimis exemption, which waives import duties on goods valued at THB 1,500 or less, as of January 1, 2026. This policy shift will directly impact e-commerce, logistics, and retail sectors, and will have wide-ranging implications for any company involved in cross-border trade with Thailand. Background Under current regulations, imported goods with a customs value (cost, insurance, and freight, or “CIF”) of THB 1,500 or less are exempt from import duties. This has been a cornerstone of the cross-border e-commerce model, allowing for the duty-free import of millions of small parcels. Under the new policy effective January 1, 2026, all imported goods, regardless of value, will be subject to assessment for import duties upon entry into Thailand. The stated rationale for this change is to create fair competition for Thai small and medium-sized enterprises (SMEs), which must pay VAT and other costs on their goods, putting them at a price disadvantage against foreign sellers who utilize the de minimis loophole. Business Implications This policy change will create new costs, compliance burdens, and operational challenges. For foreign e-commerce sellers and platforms: The most direct impact will be the addition of import duties to low-value items. Assuming the costs are passed on to the consumer, the higher prices and potentially more complex or slower customs clearance processes could lead to increased cart abandonment and reduced consumer demand. Businesses should review their pricing models and develop a clear strategy for calculating, declaring, and paying these new duties. For logistics providers and customs brokers: The administrative burden will be considerable. Carriers that previously handled millions of nondutiable parcels will now be required to process them for duty assessment and collection. This may necessitate new IT systems and streamlined processes to avoid delays at
Read More
November 7, 2025
Thailand and the United States signed a memorandum of understanding (MOU) titled “Cooperation to Diversify Global Critical Minerals Supply Chains and Promote Investments” on October 26, 2025, signaling a new strategic alignment aimed at developing Thailand’s mineral sector, particularly in rare earth elements (REEs). The MOU has implications for investments in technology, manufacturing, and other related sectors. This update outlines the key provisions of the MOU and the potential opportunities and legal navigating points for businesses. Objectives The primary driver of this agreement is the US initiative to diversify global supply chains for critical minerals and reduce reliance on current market leaders, particularly China. For Thailand, it represents a major opportunity to attract high-tech investment and develop its downstream processing industries. The cooperation is set to focus on five main areas: Technical knowledge: Exchange of technical expertise and international best practices to strengthen Thailand’s mining and processing sector. Joint cooperation: Establishing workshops, seminars, and scientific collaboration to boost innovation. Regulatory practice: Promoting good governance and streamlining regulatory and licensing procedures. Information sharing: Sharing data on potential projects and global market prices. Full-value chain: The MOU covers the entire mineral lifecycle, from exploration and extraction to processing, refining, and recycling. “First Opportunity to Invest” Clause The most debated provision within the MOU states that “participants expect to have the first opportunity to invest . . . in critical minerals assets that may be sold in Thailand.” Business implications: This clause is widely interpreted as granting US companies a first look or preferential access to investment opportunities in Thailand’s critical minerals sector. This could be a significant advantage for US-based or affiliated companies in mining, technology, and energy seeking to secure a foothold in a developing REE supply chain. Thai government position: Thai officials, including the prime minister, have publicly clarified
Read More