This latest development was revealed by the Central Bank’s assistant governor, Siritida Panomwon Na Ayudhya on Friday. Siritida said in a briefing that the apex bank was in talks with market regulators and participants before concluding stablecoin regulations.
She also stated that the regulations would be comprehensive and cover all types of stablecoins that are not illegal. The Bank of Thailand (BOT) will regulate foreign currency-backed stablecoins, asset-backed stablecoins, and algorithmic stablecoins that are not illegal.
The central bank chief also noted that the regulations will not cover crypto-assets that are not backed by real assets. ”The rules will not cover those without asset backing, such as Bitcoin or Ethereum and investors will have to take their own risks”. She added.
Issuers of baht-backed stablecoins will be required to get a central bank license to be classified as electronic money. The central bank will also oversee risks associated with e-money which includes money laundering and illegal funding. This latest development comes after the apex warned against a new baht-denominated stablecoin THT. BOT stated that the stablecoin could expose users to cyber theft and money laundering.
