Thailand SEC proposes direct derivatives licenses for crypto

Thailand’s Securities and Exchange Commission proposed rule changes that would allow licensed digital asset businesses to apply directly for derivatives licenses without creating separate legal entities. The regulator opened the draft rules for public comment through May 20.

The draft builds on earlier amendments that recognized digital assets as eligible underlying assets for futures contracts. The SEC framed the proposal as an expansion of the types of derivatives available in Thailand, with added rules to manage conflicts of interest and strengthen oversight of derivatives trading and clearing.

Under the proposal, firms already licensed to operate in Thailand could seek derivatives permissions under their existing corporate structures. The SEC expects that allowing firms to use the same entity for spot and derivatives activities would lower entry barriers and place derivatives business more directly under regulator supervision.

The draft includes new obligations for firms to control conflicts between spot and derivatives operations, increase market surveillance at trading venues, and enhance risk management at clearing houses. The regulator also proposed measures to align exchange and clearing house standards with international practice.

The SEC invited feedback from industry participants and market operators during the consultation period. Comments submitted by May 20 will be considered when finalizing the regulatory framework and any additional conditions for licensed digital asset businesses seeking to offer derivatives in Thailand.

Crypto derivatives trading has grown in other jurisdictions, where firms have launched perpetual futures and other multi-asset products and some regulators are assessing rules for those products. The SEC’s consultation will determine the final scope of the rules and the compliance requirements for firms operating derivatives trading in the country.