The Securities and Exchange Commission of Thailand (SEC), which oversees the financial markets of the country, introduced the legal framework for regulating the initial coin offering (ICO), which enters into force on July 16.
According to the guidance provided, the organizers of the ICO are required to manage a company registered in Thailand and admitted by the SEC, and have a minimum registered capital of 5 million baht (about $150,000), reports Bangkok Post.
Although the ICO organizers will be allowed to offer an unlimited number of tokens to institutional investors, venture capitalists and super-high income individuals, the maximum investment for individuals will be limited to 300,000 baht ($9,050).
It is noteworthy that the organizers of ICO are allowed to attract financing only in 7 cryptocurrencies: Bitcoin, Ethereum, XRP, Bitcoin Cash, Ethereum Classic, Stellar and Litecoin. It is also allowed to collect local fiat currency.
Organizers of ICO are obliged to register their campaign on a special portal, which will be preliminarily approved by the SEC. In addition, they must disclose investment plans, financial documents and source code of their projects. SEC-approved portals in turn should be prepared to conduct an “evaluation of business plans and the distribution structure of ICO tokens”, and also perform code verification to ensure that it meets the stated goals.
“The SEC is ready to immediately begin discussing the details with those who wish to obtain permission as an ICO portal so that they can prepare for work in a regulated environment. After the SEC gives permission to the ICO-portal, the evaluation of the tokens will be carried out,” the department informed.
Earlier it became known that Thailand began to test the digital currency for interbank settlements as part of a broader initiative to test blockchain in various sectors of the economy.