Regulators in Thailand are setting the wheels in motion to establish a regulatory framework for initial coin offerings. The initiative is being led by the Securities and Exchange Commission (SEC) and the Stock Exchange of Thailand (SET).
The SEC has already gathered feedback from market participants and will soon conduct public hearings. Ultimately the shape regulations take will be up to the SEC’s board of directors.
Thailand Adopts “Accommodating Attitude”
Thailand’s authorities have adopted an accommodative attitude toward token sales from the start. Members of the SEC have publicly acknowledged that initial coin offerings are a viable alternative to traditional methods of funding. They have no doubt also watched on whilst Singapore has quickly become a hub for ICOs and blockchain innovation.
Thailand might struggle to become the crypto capital in the region, but there is still room for homegrown projects. In March, Jaymart, a SET listed company, is launching the country’s first ICO. Jaymart is launching a decentralised lending platform and plans to raise $20 million.
While there are no regulations regarding token sales in place yet, the SEC has set out certain guidelines. The guidelines limit investments by retail investors to 300,000 baht ($10,000) in each token sale, and to 3 million baht in total. They also limit the amount an individual ICO can raise from retail investors.
The SEC is also planning to run a portal for ICOs. The portal will be used to screen ICO projects and will list whitepapers. This seems to a first and may be an effective way for regulators to maintain some level of oversight.