Thailand’s Securities and Exchange Commission (SEC) has officially launched the Digital Asset Regulatory Sandbox to support the development and testing of digital asset services in a real-world environment.
Thailand’s digital asset sandbox aims to foster innovation in the capital market while ensuring regulatory compliance through a flexible framework.
The decision to establish the Sandbox was initially approved by the SEC Board in March.
Following a public hearing in May, which gathered feedback from various stakeholders, the SEC finalised the regulations.
The feedback largely supported the initiative and the proposed regulatory adjustments.
The sandbox allows participants to test a range of six eligible digital asset-related services.
These include digital asset exchanges, brokers, dealers, fund managers, advisors, and custodial wallet providers.
To participate, entities must integrate their innovations into the development of digital asset services within the Thai capital market or join a similar sandbox from a money market regulatory agency.
The SEC will assess participants based on criteria such as capital adequacy, management structure, and operational readiness.
Participants are required to define the scope of their services within the sandbox to minimise risks and potential impacts.
The testing period is limited to one year, with an option for extension upon approval.
Applications for Thailand’s digital sandbox are now open. For more information, visit the SEC’s website or contact daregsandbox@sec.or.th.
Featured image credit: Edited from Freepik
