Bangkok, 11 June 2021 – The Securities and Exchange Commission (SEC) Board has approved the new rules that prohibit digital asset exchanges from providing services in relation to utility tokens and certain types of cryptocurrencies. The rules also specify that the exchanges set a requirement to be imposed in the event that digital tokens issued by their own exchange or related persons are listed on the exchange. In this regard, the token issuer who fails to comply with the white paper and relevant rules in substance could risk having such tokens delisted from the exchange. This new regulatory guideline aims to enhance protection of digital asset traders’ interest.
Secretary-General Ruenvadee Suwanmongkol stated that the SEC Board Meeting No. 12/2564 held
on 9 June 2021 had passed a resolution approving the Notification of the
Securities and Exchange Commission No. Kor Thor. 18/2564 Re: Rules, Conditions
and Procedures for Undertaking Digital Asset Businesses (No. 11). After
publication in the Government Gazette, the Notification has become effective
from 11 June 2021 onwards without retrospective effect. Essentially, the
Notification prescribes that digital asset exchanges set their listing rules
and prohibits the exchanges from providing services related to utility tokens
or cryptocurrencies that have any of the following characteristics:
(1) Meme token: having no clear
objective or substance or underlying, and whose price running on social media
(2) Fan token: tokenized by the fame
(3) Non-fungible token (NFT): a digital creation to declare ownership
or grant of right in an object or specific right. It is unique and not
interchangeable with digital tokens of the same category and type at the equal
(4) Digital tokens which are utilized in a blockchain
transaction and issued by digital asset exchanges or related persons.
a digital asset exchange has to set the requirement that the digital token
issuer who is the exchange itself or related person comply with the white paper
and relevant rules in substance. Failure to do so could result in the delisting
of such digital token from the exchange.
are required to comply and revise their listing rules in accordance with the Notification
within 30 days from the effective date thereof.
are strongly advised to study carefully and thoroughly before making a decision
to trade digital assets. More information on the topic “digital assets” is
available at www.sec.or.th. Name lists and information on all approved
products or licensed business operators are available on SEC Check First
application. For further inquiries or whistleblowing, please contact SEC Public
Service Center at Hotline 1207 or via online channels such as SEC Facebook Page
and SEC Live Chat at the SEC website, 24 hours/day, 7 days/week.