The digital asset landscape in Thailand is evolving rapidly, marked by significant developments and a progressive regulatory stance. In a major move, Tether, the issuer of the world's largest stablecoin USDT, has launched its gold-backed token, XAU₮, on the Thai exchange Maxbit. Each XAU₮ token is pegged to one troy ounce of physical gold, offering a novel way for investors to gain exposure to precious metals through blockchain technology.
This initiative follows the Thai Securities and Exchange Commission's (SEC) recognition of USDT as an approved cryptocurrency in March 2025. The Thai government, led by the Deputy Prime Minister, has expressed strong interest in leveraging cryptocurrencies and blockchain to boost the tourism sector and enhance economic growth. Thailand's proactive approach positions it as a key player in Southeast Asia's digital economy.
Thailand's Evolving Regulatory Framework for Digital Assets
Thailand's journey with digital asset regulation began with cautious observation but has shifted toward active embrace, aligning with global trends and domestic economic strategies. The pivotal moment came in 2018 with the enactment of the Digital Asset Business Decree, which categorizes digital assets into two main types: cryptocurrencies (as mediums of exchange) and digital tokens (representing rights or utilities).
The regulatory framework focuses on two primary aspects: token issuance and the operation of digital asset businesses, including exchanges, brokers, dealers, investment advisors, and custodial wallet providers. This structured approach ensures market integrity while fostering innovation.
Regulated Token Issuance in Thailand
For token offerings that fall under regulatory oversight, issuers must adhere to strict requirements. These include obtaining approval from the Thai SEC, submitting a detailed prospectus, and meeting specific eligibility criteria. Regulated tokens typically include:
- Investment tokens, which represent financial stakes in assets or projects.
- Utility tokens intended for listing on authorized exchanges.
- Cryptocurrencies recognized by authorities.
In 2022, SC Asset became the first company to successfully conduct a Security Token Offering (STO) in Thailand, raising approximately 3 billion THB (around $800 million) for real estate development. This milestone demonstrated the viability of regulated token offerings in the market.
Key requirements for issuers:
- Secure a license from the Thai SEC.
- File a comprehensive registration statement and prospectus.
- Maintain transparent operations and regular disclosures.
Exemptions from Regulatory Oversight
Certain token types are exempt from full regulatory scrutiny, simplifying the process for innovators and businesses. Exempt categories include:
- Digital tokens issued by the Bank of Thailand (BOT).
- Consumer-focused utility tokens used for specific services or rewards.
Limited offerings that meet specific criteria, such as:
- Targeting institutional investors or ultra-high-net-worth individuals.
- Involving fewer than 50 participants with close ties to the issuer, within a 12-month period.
- Raising less than 20 million THB within a year.
These exemptions encourage small-scale experimentation and reduce barriers for startups while maintaining investor protections.
Regulations for Digital Asset Exchanges
Thailand imposes rigorous requirements on digital asset exchanges to ensure security and compliance. Platforms facilitating the buying, selling, or trading of digital assets must:
- Be incorporated as legal entities in Thailand and obtain a license from the Ministry of Finance.
- Refrain from engaging in proprietary trading of digital assets.
- Maintain a minimum registered capital of 100 million THB.
- Adhere to anti-money laundering (AML) and counter-terrorism financing (CTF) regulations.
- Implement robust Know Your Customer (KYC), Customer Due Diligence (CDD), and suspicious activity reporting protocols.
These measures aim to create a safe environment for investors and promote fair market practices.
Strategic Implications for the Market
Tether's expansion into Thailand with XAU₮ highlights the growing intersection of traditional finance and digital assets. With USDT already dominating trading volumes on Thai exchanges like Bitkub, this move strengthens Tether's foothold in a receptive market. The company's commitment to education, through partnerships with local exchanges for blockchain literacy programs, further aligns with Thailand's vision for a digitally empowered economy.
Thailand's ranking as 16th globally in cryptocurrency adoption指数 (as per Chainalysis' 2024 report) underscores its potential. The country's export-oriented economy, coupled with high cross-border capital flows, makes it an ideal testing ground for innovative financial products.
👉 Explore advanced investment strategies
Frequently Asked Questions
What is Tether's XAU₮ token?
XAU₮ is a gold-backed digital token issued by Tether, with each token representing one troy ounce of physical gold. It combines the stability of precious metals with the efficiency of blockchain transactions.
How does Thailand regulate stablecoins like USDT?
Thailand's SEC recognizes certain stablecoins as approved cryptocurrencies. Issuers must comply with licensing, disclosure, and operational guidelines to ensure consumer protection and market stability.
Are there tax implications for holding digital assets in Thailand?
Yes, investors may be subject to capital gains taxes or withholding taxes depending on transaction types. Consulting a local tax professional is recommended for compliance.
Can foreign companies issue tokens in Thailand?
Foreign entities must establish a local presence and adhere to Thai regulations, including SEC approvals for regulated offerings. Limited exemptions may apply for small-scale or private issuances.
What are the risks of investing in gold-backed tokens?
While backed by physical assets, these tokens are influenced by gold price volatility, regulatory changes, and custodial risks. Diversification and due diligence are essential.
How can businesses ensure compliance in Thailand?
Engaging legal experts familiar with Thai digital asset laws, maintaining transparent records, and obtaining necessary licenses are critical steps for compliance.
Conclusion
Thailand's dynamic regulatory framework for digital assets offers a balanced approach, encouraging innovation while safeguarding investors. Tether's launch of XAU₮ tokens exemplifies the opportunities emerging in this vibrant market. For businesses and investors, understanding local regulations and seeking expert guidance is key to navigating this evolving landscape successfully.