Bangkok: The Securities and Exchange Commission (SEC) and the Bank of Thailand (BOT) are set to implement regulations on stablecoin transactions in a bid to curb money laundering and related financial crimes. This move follows a surge in transaction volumes, raising concerns over the potential misuse of stablecoins, such as USDT and USDC, for illegal activities.
According to Thai News Agency, the SEC and BOT engaged with digital asset businesses to outline stricter regulatory measures. The discussions aimed to establish guidelines that would prevent the use of stablecoins for laundering money, cybercrime, and circumventing international remittance provisions. These regulations are projected to be rolled out by 2026, with Travel Rules expected to be implemented by early 2027.
The SEC, in collaboration with BOT and other regulatory bodies like the Anti-Money Laundering Office (AMLO) and the Central Investigation Bureau (CIB), initiated a joint operation to enhance the scrutiny of financial data and suspicious transaction behaviors in May 2026. This initiative seeks to bolster the investigation capabilities to combat cybercrime and financial malfeasance effectively.
Moreover, the SEC has been proactive in upgrading its regulatory measures to address the rising stablecoin transaction activities. By engaging with relevant agencies, the SEC aims to develop additional safeguards to prevent the misuse of digital assets. The insights gained from consultations with businesses will inform the creation of practical regulatory guidelines set to be issued by the end of this year.
Ms. Chomkwan Kongsakul, Deputy Secretary-General of the SEC, emphasized the collaborative efforts between the SEC, BOT, and digital asset businesses to enhance regulatory approaches. Similarly, Ms. Pimphan Charoenkwan from the BOT highlighted the importance of maintaining financial system stability and expressed BOT's readiness to cooperate with SEC in supervising stablecoin-related transactions.
Mr. Nirun Fuwattananukul, President of the Thai Digital Asset Business Association (TDO), reiterated TDO's commitment to fostering a transparent and well-governed digital asset industry. TDO plans to collaborate with the SEC and BOT in developing industry standards for Enhanced Due Diligence (EDD) to improve risk management and support the ecosystem's sustainable growth.
Previously, the SEC had implemented measures like Know Your Customer and customer profiling to limit the misuse of digital assets, alongside developing systems to track and analyze stablecoin transactions. These efforts align with the broader regulatory framework set to be fully operational by February 2027, aiming to systematically prevent and suppress money laundering in Thailand's financial sectors.