- Thailand’s SEC will now require suitability checks for ICO investors every two years.
- New SEC rules focus on aligning retail crypto access with global risk standards.
- ICO portals face stricter duties to assess investor profiles under draft guidelines.
Thailand’s Securities and Exchange Commission (SEC) has proposed a major shift in how retail crypto investors are screened. Under the new rules, suitability assessments will be required every two years instead of the current quarterly checks. These evaluations are mandatory for non-institutional investors using initial coin offering (ICO) portals. The goal is to reduce repetitive testing while strengthening investor risk profiling.
The proposal eliminates the need for investors to retake knowledge tests if they have already passed them. This change applies only to non-professional classes. Ultra-high-net-worth and high-net-worth investors remain exempt. The regulator aims to streamline the investment
process without compromising risk management.
Thailand Shifts ICO Checks to Long-Term Investor Profiling
ICO portals will now have the responsibility of determining the financial status and willingness to risk of investors. Such tests must be exhaustive and should be reviewed at least every 24 months. This replaces the 3-month cycle that was previously applied. The new model shifts the focus of compliance from short-term to long-term consumer protection.
The SEC stated the update reflects international norms in both securities and digital assets. This ensures regulatory consistency across financial instruments. It also reduces burdens on investors and service providers alike. The change is part of a broader effort to modernize Thailand’s crypto regulations.
Public consultation on the proposed rules will remain open until August 1. Stakeholders have the opportunity to submit comments and suggestions. If approved, the framework will become part of Thailand’s existing digital asset policy. It marks a shift toward sustainable oversight in a fast-evolving sector.
Thailand Sets the Pace in Crypto Oversight
Thailand has taken a proactive role in regulating crypto markets. It issued digital asset licenses years before regional counterparts. Jagdish Pandya, founder of Blockon Ventures, noted that Thailand was “well ahead” of Singapore and Malaysia in licensing scope. He welcomed the move as a way to protect amateur investors.
Pandya said the suitability tests could help avoid repeat cases of ICO fraud. He added that Thailand’s regulated ICO portals are still ahead of jurisdictions like the UAE and Hong Kong. These portals provide structured access to token investments, with clear entry requirements.
The proposal does not introduce bans or restrictions on retail access. Instead, it encourages informed participation. By reducing repeated testing and enhancing long-term profiling, Thailand’s SEC hopes to build a more mature crypto market. This model is in line with regulatory trends seen in Europe and North America.
Related: Thailand Launches Crypto Sandbox for Tourist Spending
In June, the SEC launched separate consultations to let exchanges list self-issued tokens. Those would come with strict disclosure requirements to prevent insider trading. These steps show the regulator’s intent to professionalize the market without restricting innovation.
Thailand is also testing crypto use in tourism. Transactions will go through licensed operators and regulated e-money platforms. The project is part of a broader strategy to expand crypto use cases.
Licensed brokers and exchanges could run in the sandbox for as long as 18 months. But the extensions will be based on regulatory review. This is useful towards controlled innovation through an established set of laws. It will also permit testing in the actual world without liability circumventions of investors.
Such developments make Thailand one of the emerging crypto hubs, which prefer using the rule of risk instead of prohibitions altogether. To counter the pressure of a global regulatory environment, SEC intends to strike a balance between investor protection and innovation.
