The Securities and Exchange Commission (SEC) of Thailand has proposed new regulatory rules aimed at exposing hidden capital flows and tightening anti-money laundering (AML) measures within the cryptocurrency sector. The draft framework seeks to classify financial backers of major shareholders in crypto firms as regulated entities themselves, subjecting them to the same approval standards.
The core of the proposal targets "significant funding support" provided to shareholders through mechanisms such as guarantees, structured investments, and back-to-back contracts. Under the new rules, any person or entity providing such funding to a major shareholder—defined as holding more than 5% of voting rights or effectively controlling operations—would themselves be classified as a major shareholder. This forces these previously hidden financiers to undergo regulatory approval, closing loopholes used to disguise ultimate control and illicit capital flows.
The initiative builds on a wider regulatory clean-up. In February 2026, Thailand's Ministry of Finance adopted an order tightening the definition of a major shareholder in digital-asset firms. Following that, under SEC News No. 52/2026, licensed operators—including exchanges, brokers, and dealers—were given 180 days from March 4, 2026, to review ownership structures, identify newly qualifying major shareholders, and submit approval applications.
This regulatory squeeze is paired with aggressive enforcement. In March, Thai exchanges, coordinated by the Thai Digital Asset Operators Trade Association (TDO), froze over 10,000 accounts suspected of being "mule" wallets under a new "Speed Bump" measure. The SEC has also proposed a "Travel Rule" regime requiring crypto businesses to collect and share sender-and-recipient data on every transfer to prevent fraud and money laundering.
Notably, this crackdown on opaque funding occurs alongside Thailand's efforts to position itself as a crypto-friendly hub. In February, the SEC confirmed that cryptocurrencies like Bitcoin would be recognized as underlying assets under the country's Derivatives Act, paving the way for regulated futures products. Furthermore, Deputy secretary-general Jomkwan Kongsakul stated the commission plans to release formal guidelines to support crypto exchange-traded funds (ETFs) early in the year, potentially allowing investors to allocate up to 5% of diversified portfolios to digital-asset products.
The proposal for the new funding rules is currently open for public consultation until April 22, 2026, as Thailand seeks to refine its framework and build a more transparent and accountable environment for digital asset businesses.
