The Securities and Exchange Commission of Thailand (SEC) is set to introduce a new trading platform based on distributed ledger technology (DLT) that will enable securities firms to trade digital tokens.
This initiative aims to enhance the efficiency of the capital market by promoting an electronic securities ecosystem.
Jomkwan Kongsakul, the deputy secretary-general of the Thai SEC, stated that the demand for token investments is increasing. As part of the new regulations, the SEC will facilitate the issuance of electronic securities and allow online purchases of debentures, which are debt instruments commonly used by large corporations to raise funds.
The planned system will fully digitize bond trading for both primary and secondary markets. It will encompass trading, settlement, investor registration, and payment processes, while also supporting multiple chains with interoperability standards.
The SEC has approved four digital token projects for this new trading system, with two additional projects under review that focus on green tokens and investment-based initiatives.
While the Thai central bank currently prohibits the use of cryptocurrencies for payments, there are plans to pilot a Bitcoin payment sandbox in Phuket later this year. This program aims to provide foreign visitors with an alternative crypto payment option while allowing regulators to evaluate potential risks in a controlled environment.
In January, former Thai Prime Minister Thaksin Shinawatra expressed confidence in allowing the trade of stablecoins and other digital tokens backed by tangible assets.
Additionally, reports suggest that the Thai government is contemplating the issuance of a stablecoin backed by government bonds, although no official announcement has been made.