Bank of Thailand Green-Lights Financial Companies for Crypto Activities

Thailand’s central bank has announced the rules under which financial institutions, including commercial banks, and their subsidiaries can engage in cryptocurrency activities. They include securities, asset management, and insurance firms. This follows the country’s crypto regulatory framework that went into effect last month.

Thailand’s central bank, the Bank of Thailand (BOT), issued a circular dated August 1 to all financial institutions in the country, informing them of its new crypto policies.

Citing that the country now has a regulatory framework for cryptocurrencies and initial coin offerings (ICO), the BOT canceled its previous circular issued in February. At that time, the central bank asked financial institutions to refrain from getting involved in certain types of crypto activities.

In its new circular, the Bank of Thailand outlines the conditions under which financial institutions and their subsidiaries can now engage in activities involving cryptocurrencies and digital tokens.

The rules can be divided into two broad categories: those that apply to financial institutions and those that apply to their subsidiaries.