Thailand’s Securities and Exchange Commission (TSEC) has recently made a significant change in the digital token landscape by removing the previous investment cap for retail investors in digital tokens backed by real estate or infrastructure projects. Before this change, retail investors were restricted to a maximum investment of 300,000 baht (approximately $8,500) in such tokens. However, as per the new regulations published in the Royal Gazette on January 16, 2024, this limit has been lifted, enabling retail investors to have greater freedom in investing in the real estate and infrastructure-backed digital token (REIT) market.
This decision by the TSEC is a response to the burgeoning cryptocurrency market in Thailand. A notable development in this sector was in September 2023, when KBank, Thailand’s largest bank, acquired the crypto exchange Satang, reflecting the increasing integration of digital assets into the Thai financial system. The updated rules also facilitate the establishment of local custodial wallets, which are secure digital storage solutions for cryptocurrencies and other digital assets.
These wallets can now operate in Thailand under the condition that they are managed by publicly traded companies with expertise in digital asset storage. Additionally, the TSEC is tasked with granting permissions to digital asset service providers (DASPs) for initiating operations in new business areas.
This regulatory relaxation coincides with the appointment of real estate mogul Srettha Thavisin as Thailand’s prime minister in August 2023. Thavisin, formerly the CEO of Sansiri, a leading real estate developer in Thailand, is known for his active involvement in the digital asset space, including his own digital token, the SiriHub Token.
Moreover, the Thai government has announced a plan to distribute 10,000 baht (around $274) to citizens over 16 years old through digital wallets. This initiative, aimed at stimulating the economy and enhancing digital literacy, has experienced delays twice since Thavisin’s election. This move further underscores Thailand’s commitment to integrating digital technology into its economic framework.
Get $200 Free Bitcoins every hour! No Deposit No Credit Card required. Sign Up