Both existing businesses that already operate a digital business before the legal enforcement or newcomers who are interested in obtaining licenses as trading centers, brokerage firms or traders for digital assets can apply for official licenses at  SEC  from now on. The standardized work systems, good risk management and well-prepared personnel will be emphasized.

SEC Secretary-General Rapee Sucharitkul said “SEC is now opening for applications for operating digital asset businesses as Ministry of Finance’s announcement on digital asset licensing has come into force. Interested parties can apply for licenses as trading centers, brokerage firms and traders for digital assets from SEC.”

Those seeking a digital asset license must contain the key qualifications as follows: (1) a Thai company as a limited company or a listed company; (2) the required amount of a registered capital; (3) well-preparedness in work systems, financial status, control and good work practices; (4) no financial troubles; (5) directors, management executives and major shareholders with no prohibited characteristics approved by SEC; (6) no conflicts of interest between other operations and digital asset business with an exception for appropriate and efficient mechanisms to prevent a conflict of interest in place, annual financial statements approved by an auditor, and maintenance of capital reserves in accordance with the laws governing corporate conduct.

Such regulations will be enforced on new comers who apply for the licenses and existing digital asset business operators before the royal decree on digital asset businesses went into effect on 14 May 2018.

“SEC has a duty to standardize business practices to ensure that operators are well-equipped in terms of management, work systems, particularly efficient technology systems, a system to review and assess customers’ suitability, which is very important as digital assets contain high risks. Once applicants for licensing are well-prepared and have qualifications required, SEC will propose its comments to Minister of Finance to issue the licenses,” Rapee added.

Those who are interested and intend to apply for licenses in operating digital asset businesses, please submit the document at SEC and download the related notifications at https://www.sec.or.th/digitalasset

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*News Release No. 75/2018

Digital asset business operators are as follows:

1. Trading centers for cryptocurrencies or digital tokens are centers or networks for trading and exchanging digital assets for the baht or cryptocurrencies on the determined list;

2. Brokerage firms for cryptocurrencies or digital tokens are brokerage firms or representatives for trading digital assets;

3. Traders for cryptocurrencies or digital tokens are service providers for trading and exchanging digital assets on their own behalf.