Thailand’s Securities and Exchange Commission has received twenty applications from companies seeking the licenses to operate cryptocurrency exchanges in the country. This rush for cryptocurrency exchange licenses comes after the Thailand SEC availed a new system designed for licensing the crypto space.
An Active Crypto Market In Thailand
Rapee Sucharitakul, who is Thailand’s SEC’s secretary general, has announced that close to two dozen companies have already tendered in their applications for licenses that will give them the permission to operate domestic crypto exchanges, just a month after the ascension of the new ICOs and crypto industry licensing framework. The licensing regulatory framework was put into effect on the 16th of July.
The secretary general revealed that processing of the applications was already underway, adding that all the companies which have shown an interest in operating digital asset exchanges in the country have confirmed that the digital assets and crypto trading market in Thailand was very active.
Licensure Via ICO Portals
The Thai authorities requested that a royal decree is made which would ensure the fast-tracking of the new regulations that would apply to the nation’s crypto industry. These regulations were to make it mandatory for all operators of crypto exchanges, issuers of ICOs and crypto brokerages to be listed by the SEC before the commencement of operations. This regulatory framework has been approved and commenced from the 16th of July.
Thailand’s SEC has been touted as being among the first regulators in the world to acknowledge cryptocurrencies in fundraising. The regulator has approved for payments to be made in the form of seven different digital coins namely Bitcoin, Ethereum, Litecoin, Bitcoin Cash, Stellar, Ethereum Classic, and Ripple.
ICO users will be able to receive licensure by using portals, offered by different companies, with three of the companies providing the ICO portals having already tendered in their applications to the commission. The management structure and operational plans of the portal providers will be inspected by the regulating body. Although many ICO issuers have registered an interest in acquiring the license, it has been revealed that only five companies will be licensed during this period.
A More Receptive Market
This news has come during a period when the main securities firms’ representative in Thailand is looking to apply with the SEC for the opportunity to launch its own joint cryptocurrency exchange. This is a sure indication of the increasing interest of the retail and institutional investor in crypto trading.
Asian nations have been seen to be more accepting and embracive of the crypto space, with appropriate regulations. The Philippines currently boasts of a total of five regulated crypto exchanges in the country, with its central bank being responsible for the approval of two of these.
Japan has been somewhat of a trendsetter when it comes to embracing a regulated crypto industry in the Asian Market. Japan’s Payment Services Act was the first to undergo revision, recognizing digital coins like Bitcoin as being equal to a legal tender. The new Japan regulations made it mandatory for exchanges in the country to register with its financial regulator.