SET President Pakorn Peetathawatchai announced on February 20th that they are waiting on approval to begin operating a digital assets exchange toward the end of 2022. Peetathawatchai states that their main focus will be on investment and utility tokens based on local and international demand from investors. Investors will also have the opportunity to raise funds through these digital assets.
Peetathawatchai also confirmed that the digital assets exchange will not be devoting resources to Bitcoin or other cryptocurrencies. However, Peetathawatchai says that the SET’s strengths are in providing investment tools and will be looking for ways to connect their digital assets exchange to other cryptocurrency exchanges.
A mobile application would be used for converting and trading assets between the SET’s digital assets exchange and other bitcoin and cryptocurrency exchanges. Essentially, making it easier for investors to convert their cryptocurrencies into fiat and then using that fiat to purchase the SET’s investment and utility tokens.
Peetathawatchai goes on to explain that the Central Bank of Thailand and Thailand’s Securities and Exchange Commission (SEC) have been working together to combat money laundering and other nefarious activity through the use of bitcoin and cryptocurrencies. In the meantime, the SEC has been providing guidance and education for investors and businesses who are involved in cryptocurrency transactions and investments.
The Ministry of Finance (MOF), the SEC, and the Bank of Thailand (BOT) are still developing a regulatory framework for bitcoin and cryptocurrencies. In January, there were plans to possibly ban bitcoin and cryptocurrencies from being used as payment methods but no official ban has taken place. With no confirmed legislation for a ban, the announcement for a digital assets exchange, and Thailand’s recent withdrawal of the 15% capital gains tax from earlier this month, there is a clear shift in sentiment among Thailand’s regulators.