Reports in the Bangkok Post have confirmed that Thailand’s regulatory body, The Securities and Exchange Commission, have approved a list of 7 cryptocurrencies that can be used as payment for ICOs and as trading pairs on exchanges.
While Bitcoin, Bitcoin Cash, Ethereum, Litecoin and Ripple being confirmed as acceptable was widely expected, the inclusion of Ethereum Classic and Stellar Lumens may have come as a surprise to some observers.
According to the article “Consensus credibility and cryptocurrency liquidity are some of the main criteria used by the SEC…” to assess the suitability of cryptocurrency for ICO payments and trading pairs.
Fees, Fines and Financial Requirements
The news comes following months of conjecture and debate which resulted in a royal decree issued on May 14 that regulated all digital assets.
The lengthy document stated that, as well as gaining Finance Ministry approval, all market participants – including ICO issuers, digital exchanges, brokers and dealers involved with digital asset transactions – were compelled to register with the SEC within 90 days of the effective date.
Punishment for non-conformers include fines of “no more than twice the value of the digital transaction or at least 500,000 Baht ($15,653)*…” and the possibility of two years in jail.
Any ICO can seek unlimited funding from institutional and ultra-high-net-worth investors but individual retail investors will be limited to just 300,000 Baht ($9,392) for each project.
For token issuers, they are now required to ensure their ICO portal looks after the offering for at least a year and must have a minimum registered capital of 5 million Baht ($156,533).
Exchanges and brokerage firms are subject to additional fees and capital requirements.
* = Thai Baht-USD exchange rate as of 10/06/18 and are intended for unofficial comparison only.