Altcoin News: Thai Government Approves Issue and Trading of Blockchain Based Securities
February 23, 2019, by Marko Vidrih on ALTCOIN MAGAZINE
The National Legislative Assembly of Thailand approved an amendment to the Securities and Exchange Act allowing the issue of securities on the blockchain. The amendment will enter into force this year.
In the coming months, the Securities and Exchange Commission (SEC) of Thailand will issue detailed guidelines and rules for tokenized and electronic securities.
SEC deputy secretary-general Tipsuda Thavaramara clarifies that this initiative will allow the creation of blockchain platforms in the future and will help develop the ecosystem of digital assets.
The amendment will also give companies the opportunity to obtain a license to operate as depositories of securities and digital tokens. Previously, it was limited to Thai Securities Depository Co Ltd, a wholly owned subsidiary of the Thai stock exchange.
The activity of cryptocurrency companies in Thailand is regulated in accordance with the Emergency Decree on companies dealing with digital assets 2561 of 2018. Whether tokens will be governed by the securities act will be decided by the SEC.
“It will depend on features of rights and obligations associated with that token,” said Pariya Techamuanvivit, director of corporate communication department at the SEC, in Friday’s report.
In January, the country’s Ministry of Finance issued licenses to use digital assets to four local cryptocurrency companies and rejected two applications. The Thai Stock Exchange also plans to apply for a license to operate a platform for exchanging digital assets.
Author: Marko Vidrih
