Thailand has been undergoing new SEC regulations over the past two months, but that has not affected the number of companies now applying for Thai crypto exchange licenses. Over 20 companies have applied for licenses to open crypto exchanges in Thailand, which shows the laws have not dampened spirits towards crypto in the kingdom.
Many thought that the new crypto legislations by the Thai SEC would have discouraged companies from seeking licenses, but that couldn’t be further from the truth.
Applications for Thai crypto exchange licenses on the rise
New licensing systems for the Thai cryptocurrency industry were introduced in July, with many naysayers predicting a massive decline in crypto usage across the Kingdom, but it seems that the reports of its demise were exaggerated. 20 new companies have recently applied for Thai crypto exchange licenses that wish to be in line with the Thai SEC’s new regulations.
Rapee Sucharitakul, the secretary general for the Thai SEC, has reported that as many as 20 companies have applied for licenses to operate domestic crypto exchanges, which shows that crypto is well and truly alive and kicking in Thailand. The new rules and licensing framework for ICOs and other parts of the industry came into effect on July 16, and it hasn’t taken much time for companies to apply for licenses.
Suchartakul told the Thai newspaper, the Bangkok Post on Thursday that licenses are currently being processed and that “Many companies interested in opening digital asset exchanges have said digital assets and cryptocurrency trading in the Thai market are quite active.”
Fast-tracking the Thai crypto sector
Although the new applications for Thai crypto exchange licenses might have seemed rapid, it is part of a plan by Thai authorities to fast-track the regulation of the sector to create some clear definitions and framework for exchange operators, brokers, and ICO issuers. The move by the Thai SEC has been quick and smooth.
The Thai SEC framework only came into effect less than a month ago, making the country’s financial markets regulator one of the earliest implementers and regulators of securities and crypto fundraising that will allow certain coins as payments for ICO users.
The main reason for the regulations was to keep a lid on the ICO market, which can easily get out of control if not regulated. ICO issuers will now have to earn licenses with the Thai SEC. There have been five ICO portals that have already submitted applications to the SEC.
It has also been noted by the Thai SEC that there has been lots of interest from over 50 potential ICO issuers looking to win licenses in order to raise funds for their projects. The interest from companies wanting to start up ICO projects or gain Thai crypto exchange licenses has skyrocketed through the roof when the opposite was expected.