Thailand is now considered one of the leading countries in the crypto space across Southeast Asia. This is evident from its increasingly comprehensive and clear crypto regulations, as well as serious commitment and development from the Thai government.
As of now, Thailand continues to actively shape the direction of how digital assets are used and regulated.
That’s why I’ve written this article to summarize the latest crypto-related laws in Thailand (updated for 2025). It includes a breakdown of the Thai SEC’s role in overseeing crypto, along with key issues that foreign investors should pay close attention to.
1.Thailand’s New Crypto Law for 2025
Thailand has officially enforced the Emergency Decree on Digital Asset Businesses (No. 2), B.E. 2568, effective from April 13, 2025. It updates the previous law from 2018 to better align with current global trends and evolving technologies. The key elements of the new law include:
1.1 Enhanced Investor Protection
Crypto exchanges are now required to separate customer assets from company assets using secure cold wallets. These wallets must be auditable and independently verifiable.
This change is meant to prevent misuse of customer funds, such as in the case of Zipmex Thailand, where customer crypto funds were misappropriated for external investments, resulting in damages worth billions of baht. The former executive has since been sentenced to five years in prison.
KYC processes are also now stricter, and platforms must clearly document and update each customer’s financial trail.
1.2 Stricter Control on Advertising and Promotions
Crypto advertisements must include a clear warning that says: "Cryptocurrencies are high-risk. Investors may lose all their money."
Misleading images or guarantees of returns are strictly prohibited. Citing public figures without permission is also banned.
Moreover, campaigns must be submitted to the SEC in advance for review, especially when promoted through social media or influencers.
1.3 Clear and Tough Penalties for Violations
The new law clearly outlines penalties for non-compliance. Offering services without proper licensing can result in up to 5 years in prison and a fine of up to 500,000 THB.
Daily fines may be imposed until the operator complies with the law. Mishandling or misusing customer assets, or failure to implement adequate risk controls, could lead to license revocation and additional criminal charges.
1.4 Expanded Licensing Requirements
Crypto service providers applying for licenses must now prove their readiness in capital reserves, cybersecurity, and organizational structure.
They must also provide working KYC/AML systems, a risk management plan, and appoint executives with proven experience in finance or tech (approved by the SEC). Additionally, detailed operational plans, risk evaluations, and technology specs must be submitted.
2.Role of the Thai SEC
Thailand’s Securities and Exchange Commission (SEC) is the central authority for regulating digital assets. Its key responsibilities include
2.1 Issuing licenses to exchanges and crypto service providers
2.2 Investigating illegal or suspicious behavior
2.3 Cooperating with cybersecurity and digital economy agencies
Every month, the SEC publishes warnings to inform crypto investors of scams and unauthorized exchanges. You can check their alert list directly on the official SEC website.
https://market.sec.or.th/public/idisc/th/Viewmore/invalert-head?LicenseType=03&PublicFlag=Y
In my opinion, the Thai SEC plays a crucial role in shaping the behavior of both retail and institutional crypto investors in the country. Without SEC approval, it’s difficult for a platform or product to gain real market traction.
A prime example is Binance.com, which is not authorized to operate in Thailand. Instead, Binance has launched Binance.TH, a regulated exchange under the SEC’s approval, and is currently encouraging Thai users to migrate to the local version.
3.Restrictions for Thai Retail Investors
To protect the general public, Thailand limits crypto investments for retail investors. For instance
Retail investors can invest in foreign crypto-related funds (e.g., ETFs, mutual funds) up to 5% of their total net asset value (NAV).
High-net-worth and institutional investors are allowed broader access.
4.Conditions for Foreign Crypto Businesses
If you’re a foreign crypto operator planning to serve Thai users, you must apply for a license from the Thai SEC. Core conditions include
4.1 Providing Thai-language content on your site/app
4.2 Using a ".th" or ".co.th" domain
4.3 Enabling Thai Baht payments or Thai bank account integration
4.4 Referring to Thai law in your platform’s terms and conditions
4.5 Setting up local offices or representatives in Thailand
Without meeting these criteria, your business may be flagged and placed on SEC’s caution list, making it difficult to reach Thai investors.
5.Risks and Penalties: The Case of Mule Accounts
Thailand is increasingly cracking down on "mule accounts" used in crypto-related scams. Many locals have lost money to fraudulent transactions involving unauthorized accounts.
Recently, Binance Global shut down P2P services in Thailand due to widespread abuse involving mule accounts. If a Thai user’s personal bank account is involved, it can be frozen until the user can prove its legitimacy
Legal penalties for operating a mule account include
1.Up to 3 years imprisonment
2.Fines up to 300,000 THB
3.Or both imprisonment and fine
Final Thoughts
Thailand is not anti-crypto. On the contrary, the government is working hard to regulate it fairly and responsibly with the investor’s safety at heart.
If you’re a foreign investor or crypto entrepreneur, understanding Thailand’s legal landscape can help you avoid regulatory issues and build trust with local users. Proper compliance may even give you an edge over unlicensed competitors.
With its growing regulatory maturity, Thailand might soon become a leading crypto hub in Southeast Asia.
