Thailand’s Securities and Exchange Commission has just amended its Securities and Exchange Act of 2019. The changes will allow market players to trade digital securities in primary markets.
Thailand is looking to position itself as one of the major hubs of security token trading. The country’s regulatory body, the Securities and Exchange Commission, has just amended the Securities and Exchange Act of 2019. The end result is good news for the security token industry: investors can now trade digital securities on primary markets. The news was published in the Bangkok Post earlier this week.
The amendments made also expand the scope of scriptless transactions, or transactions which are recorded as IOUs rather than the actual movement of assets.
The original act allowed security token issuers to hold their own STOs in Thailand. Now, however, they can freely trade these issued securities on primary markets quite easily.
Commenting on the amendments, the SEC deputy secretary Tipsuda Thavaramara said:
“This change will have a major impact as the amended Act provides a legal basis to support [the country’s capital market] the tokenization platform. The law also opens opportunities for additional market players and supports the idea of entirely digital shares.”
The next step, she said, is making sure that platforms are safe for emerging players and ideas in this exciting new market.
Thailand is well-known for being a friend to the emerging security token space. In March, the country approved a regulatory ICO portal for all token issuers. The Stock Exchange of Thailand also plans to support tokenized securities sometime in the future, having already been approved for a license.
Do you believe Thailand will emerge as the leader of the security token space in Asia? Let us know your thoughts below.
Image courtesy of the Securities and Exchange Commission of Thailand.