Thailand is making a considerable effort to become a crypto friendly zone. At the end of 2017, the Stock Exchange of Thailand had 688 listed companies with a combined market capitalization of 17.92 trillion or US$560 billion.
The Stock Exchange of Thailand (SET) has decided that it should apply for a digital license in the country in order to also operate a crypto exchange as well as its traditional stock exchange services. The SET wants to board the crypto train as cryptos are a very popular investment asset class in Thailand.
Pattera Dilokrungthirapop, the chairwoman of the Association of Securities Companies, which acts as the Vice Chair of the SET, too, was one of the people spearheading the idea of broker based dealing digital assets, too.
According to Pattera, digital assets will grow a lot in the future, so now is the time to prepare the field, and to get more understanding about how they work because the companies that get a head start now will be benefited in the future.
The group has stated that it will apply soon and, if the license is actually acquired by them, this could become the first stock exchange in the country to have a crypto business as well. This would put it way ahead of the other exchanges, as the company has a lot of capital and it is well established and trusted in the country.
In fact, the company is not alone as many other companies are also interested in acquiring a digital asset license with the Finance Ministry now.
One of the first officially approved exchanges in the country, Bitkub Group, was one of the first to actually show some interest in partnering with the exchange.
Exchanges can reapply after getting rejected
Crypto is becoming such a great business in Thailand that many companies are applying for licenses and the ones who actually get rejected, have decided to re-apply again in most cases. Coin Asset Co is one of these companies.
Its first try was not successful, so the company is now focused in getting up to the SEC standards in order to have a shot, as the license is needed to be able to work legally in the country.
The CEO of Coin Asset Co, Sivanus Yamdee, has confirmed that the company is seeking a way to keep their business moving towards the peak and that they will re-apply again in four months.
By looking at Thailand, one could say that the country is on the right track as the government has actually took its time to create a comprehensive framework that will help companies to work in Thailand, unlike all the trouble that is happening in the United States and Europe right now with regulation issues.
Thai SET Apply for License to Help Securities Firm Members
One of the main reasons why the SET are thinking of applying for a cryptocurrency license in the short term is to mainly help its securities firm members who are looking to become crypto brokers and dealers.
The long term plan for the SET is to set up a crypto exchange of their own. And if they do, they will become one of a handful of stock exchanges in the world to separate both their stock and crypto exchanges into two separate entities.
The SET is definitely in a prime position to become the main crypto trader in Thailand if their plans come to fruition, which is mainly down to its reliable reputation as a major exchange. However, some companies that already deal in crypto in Thailand believe that the SET still lacks experience when compared to other already-established crypto exchanges in Thailand such as the Bitkub Exchange and BXB Exchange.