Thai SEC on ICO Regulations within Thailand

The Thai SEC Building


In the first week of July, Thailand’s Securities and Exchange Commission (SEC) announced the regulation rules for all Initial Coin Offerings (ICOs) that was and is developed within Thailand.  While this information is available on the Thai SEC website, currently at the time of writing this, everything is still in Thai.

Fortunately, the local Thai crypto-exchange: hosted a webinar on the subject and gave the foreign speakers a translation.

So, this article will be a summary of what was said during that webinar and an overall look at the Thai ICO regulations. The following regulations have been in effect since the 16th of July 2018.

Any and all ICO issuers must be a legal and registered company within Thailand. The company must also have a minimum of 5 million Thai Baht registered as capital (Equivalent to 150,461 USD as of writing this article).

The company planning to issue an ICO must have a business plan (Business plan must be related to the ICO) as well as the Whitepaper and both must be in Thai.

The details of your Smart Contract, as well as the Source Code, must be completely transparent when submitted to the SEC’s ICO portal, so that that the SEC may conduct a thorough “audit” and make sure the details, code and information that you provided are the same as what is actually there.

Institutional investors, companies and retail investors that can prove they have a high net worth have no limit on the number of tokens that they wish to obtain. Whereas standard retail investors are capped at a token value of 300,000 Thai Baht ($9,025 USD).

The Thai finance ministry has also stated future taxation rates on Cryptocurrency trading and investments for the future. Though these are not yet concrete, the proposed tax rates are: 15% withholding tax on gains and 7% in value-added tax.

Though the Thai Tax Authority is intending to waive the 7% VAT tax on retail investors.

An update to this article will be posted if anything changes!

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Just two months after his first Bitcoin purchase, Loy found himself working with Embily and has been a Cryptocurrency evangelist ever since. Follow his journey as he continues to learn all he can about Crypto.