In line with a recent report by native news source ‘The Bangkok Post’, Thai [Thailand] National law-makers has officially allowed the issuance of tokenized securities on blockchain. The govt will modify the existing SEC’s [Securities and Exchange] Act, in line with the article. As the new amedments come into effect from later in 2019, tokenized securities like stocks and bonds will be officially issued on blockchain.
The Thai SEC [Securities and Exchange Commission] can issue extra ‘rules‘ so that the cryptocurrency platforms can seek for a securities depository license. In line with Thai SEC deputy secretary named ‘Tipsuda Thavaramara’, the regulator would also permit businesses that operate as depositories of securities and digital tokens to apply for such licenses.
Previously, the mentioned act outlined ‘Thailand‘ Securities Depository Co Ltd, a subsidiary of the SET [Stock Exchange of Thailand], as the solely company allowed to operate as a securities depository for the SET’s securities related operations.
The Thai SEC will also decide whether or not a STO [Security Token Offering] is regulated under the present securities act or the royal decree on digital assets. The decision can rely upon the rights and obligations related to selected tokens, the publication added.
Even earlier in Oct. last year, the Thai SEC ‘reportedly‘ initiated an investigation into digital tokens and ICOs that are being promoted on social media platforms for investment, and traced 9 cases where promoted digital assets had no been licensed by the market regulator.
According to the SEC, the alleged digital assets and ICOs have neither filed an application for the SEC’s approval, nor have they met the required qualifications and had sensible smart contracts assessed by ICO portals. The SEC aforementioned that people who have invested within these alleged assets ought to be cautious of associated investment risks.
As previously reported this year, the Thailand Ministry of Finance ‘issued‘ crypto asset business licenses to four crypto-related corporations beneath the recommendations of the Thai SEC Board. Two other alternative applicants failed to comply as per Thai SEC’s rules and were thereby rejected.
The National Electronics and Computer Technology Center of ‘Thailand‘ is also ‘exploring‘ the employment of blockchain in e-voting. The solution can be deployed within the short term within a closed environment; like the, Thai nationals living abroad might visit the embassy or consulate to ‘vote‘ and verify their identities on the blockchain.