YEREVAN (CoinChapter.com) — The Securities and Exchange Commission of Thailand (SEC) is working on a distributed ledger technology (DLT) trading system that will allow securities firms to trade digital tokens. According to Deputy Secretary-General Jomkwan Kongsakul, the new system will help capital markets adopt electronic securities.
Kongsakul stated,
“The SEC is leveraging technology to enhance efficiency in the capital market by promoting an electronic securities ecosystem.”
New regulations will be introduced to enable issuance of electronic securities and online purchases of debentures. Debentures are medium-to-long-term debt instruments used by companies to raise funds.
SEC deputy secretary-general Jomkwan Kongsakul. Source: SECSEC Approves Digital Token Projects for Trading System
The SEC has approved four digital token projects for its new DLT-based debt instrument trading system. Two more projects are under review. One of them focuses on green tokens, while the other supports investment-based projects, according to the Bangkok Post.
The trading system will support primary and secondary bond markets. It will include trading, settlement, investor registration, and payment processes.
Thailand SEC Plans Multi-Chain Connectivity for Tokenized Securities
Kongsakul noted that multiple blockchain networks may be used for tokenized securities trading.
“In the future, there may be multiple chains for trade. Trading through DLT on all systems is connected by a shared ledger, which is expected to be completed soon,”
she said.
The SEC will issue two types of securities under the new system:
Tokenized traditional securities, which are converted into digital assets. Electronic securities, which are created as digital-native assets.Thailand’s Crypto Market Adapts to Institutional Trading
Thailand’s crypto landscape is shifting toward institutional investors. In October 2023, Binance Thailand CEO Nirun Fuwattananukul said that the market was evolving toward regulated tokenized securities and crypto assets.
Thailand SEC Digital Asset Regulations. Source: Bangkok postDespite this shift, crypto payments remain restricted by the central bank. However, there are plans to launch a Bitcoin payment sandbox in Phuket later this year. The program will also allow foreign visitors to use crypto payments, while regulators assess possible risks.
Thailand Government Considers Bond-Backed Stablecoin
Notably, the Thai government is discussing the possibility of a stablecoin backed by government bonds, according to a Jinshi report on Jan. 30. No official decision has been made yet.
The post Thailand SEC Moves to Launch Tokenized Securities Trading Platform appeared first on Coinchapter.
