Thailand’s securities regulator is reportedly expecting to approve five initial coin offerings (ICOs) later this month.

According to the Bangkok Post on Wednesday, the Thailand Securities and Exchange Commission (SEC) has said that, while 50 ICOs in the country are currently applying for regulatory approval, five of them are already in a position to move ahead.

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However, the token sales will have to wait until later in June, when a royal decree on cryptocurrency, announced last month, formally comes into law.

While it remains unclear why these ICO projects are likely to win approval, Thawatchai Kiatkwankul, director of the SEC’s corporate finance division, said projects need to have commercial value and go through vetting before they can be considered for registration.

If the registrations do go ahead, it will mark Thailand as one of the first nations to allow ICOs to proceed legally in a regulated environment. Other jurisdictions including Bermuda and Russia are also moving to introduce frameworks that would allow approved ICO projects.

According to the report, the royal decree was first announced on May 15, following a months-long process that saw public hearings and legislative debates around the issue.

Besides ordering ICO projects to register with the financial watchdog and to receive approvals before starting a token sale, the law also puts a 300,000 baht (around $9,000) hard cap on contributions by individual retail investors for each project.

In addition, other industry players such as exchanges, brokers and dealers that are involved in cryptocurrency transactions are also required to register with the SEC within 90 days of the law’s introduction, the report said.

Thai baht image via Shutterstock

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Thailand’s national stock exchange has launched a new blockchain-powered component for startups.

 

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The Stock Exchange of Thailand (SET) has launched a crowdfunding marketplace that is built on blockchain technology in a bid to widen the access to capital funds for domestic startups.

According to an announcement from the Stock Exchange of Thailand (SET) on Friday, the new service, dubbed LiVE, uses blockchain to enable peer-to-peer trading in an effort to help startups access new capital from investors, including those drawn from the venture capital and institutional investor worlds.

SET officials said that so far, eight companies have joined the blockchain platform, with another 50 companies scheduled to participate in the initiative.

SET’s President Kesara Manchusree said in the announcement.

“‘LiVE’ platform will be a key mechanism to help drive forward Thailand’s growth especially enabling startups and SMEs to have more financial accesses through crowdfunding. Businesses can utilize LiVE to promote to a wider target group while using [the] partnership to expand [our] customer base.”

The launch follows a year-long technological development process. As CoinDesk previously reported, the SET began planning to build a crowdfunding platform for startups in March of last year. At the time, the SET said that over 600 companies had shown interest in joining the blockchain-powered marketplace.

Meanwhile, other stock exchanges in the world, such as the Hong Kong Stock Exchange, are also looking to blockchain as a means to develop securities markets for smaller businesses.

SET image via Shutterstock

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The Cabinet of Thailand, the executive branch of the country’s government, has provisionally passed two royal decree drafts aimed at regulating cryptocurrencies, a report states.

The drafts – covering both cryptocurrency and initial coin offering transactions, as well as a possible tax on crypto capital gains – first received agreement from government ministers on Tuesday.

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Before becoming law, the legislation must be further reviewed by the Council of State, an advisory body reporting to Thailand’s prime minister on legislative matters, before being re-submitted to the cabinet for final approval. That could occur as early as next week, according to the Bangkok Post.

Additional feedback from various regulators in the country will also be taken into consideration upon approval in principle of the decrees, including the Ministry of Finance, the Bank of Thailand, the Securities and Exchange Commission and the Anti-Money Laundering Office, the report says.

A royal decree is one form of legislation in Thailand, which sets rules on emergent issues that may concern public safety.

The latest legal effort comes amid rising illicit use of cryptocurrencies in money-laundering, crime and tax avoidance, Thailand’s deputy prime minister, Wissanu Krea-ngam, was quoted as saying

However, the deputy PM stressed that the intent is not to ban cryptocurrency activities, such as trading and initial coin offerings, but rather to establish formal rules to protect investors.

In addition, the second royal decree also aims to bring taxation on capital gains from cryptocurrency investments. The rate of the tax has yet to be determined, but is likely to range between 10 and 15 percent, according to the Post.

Previously, industry experts, through public consultation, have called for cryptocurrency rules to be implemented by the Securities and Exchange Commission (SEC) in Thailand.

To that effort, Wissanu also said in the report that the Finance Ministry and the SEC are also working on an additional organic law that would require cryptocurrency exchanges, brokers and dealers to register with the relevant authorities.

Thai government house image via Shutterstock

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The Cabinet of Thailand, the executive branch of the country’s government, has provisionally passed two royal decree drafts aimed at regulating cryptocurrencies, a report states.

The drafts – covering both cryptocurrency and initial coin offering transactions, as well as a possible tax on crypto capital gains – first received agreement from government ministers on Tuesday.

Thailand

Before becoming law, the legislation must be further reviewed by the Council of State, an advisory body reporting to Thailand’s prime minister on legislative matters, before being re-submitted to the cabinet for final approval. That could occur as early as next week, according to the Bangkok Post.

Additional feedback from various regulators in the country will also be taken into consideration upon approval in principle of the decrees, including the Ministry of Finance, the Bank of Thailand, the Securities and Exchange Commission and the Anti-Money Laundering Office, the report says.

A royal decree is one form of legislation in Thailand, which sets rules on emergent issues that may concern public safety.

The latest legal effort comes amid rising illicit use of cryptocurrencies in money-laundering, crime and tax avoidance, Thailand’s deputy prime minister, Wissanu Krea-ngam, was quoted as saying

However, the deputy PM stressed that the intent is not to ban cryptocurrency activities, such as trading and initial coin offerings, but rather to establish formal rules to protect investors.

In addition, the second royal decree also aims to bring taxation on capital gains from cryptocurrency investments. The rate of the tax has yet to be determined, but is likely to range between 10 and 15 percent, according to the Post.

Previously, industry experts, through public consultation, have called for cryptocurrency rules to be implemented by the Securities and Exchange Commission (SEC) in Thailand.

To that effort, Wissanu also said in the report that the Finance Ministry and the SEC are also working on an additional organic law that would require cryptocurrency exchanges, brokers and dealers to register with the relevant authorities.

Thai government house image via Shutterstock

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