Thailand is tightening its grip on the digital asset sector with a new set of legal amendments targeting crypto-related cybercrime. On April 8, Thailand’s cabinet approved changes to existing emergency decrees, including the Digital Asset Business Act and laws for cybercrime prevention, the Thai Securities and Exchange Commission (SEC) announced.
The latest amendments introduce new penalties, tighten control over foreign crypto platforms, and place greater responsibilities on banks, telecoms, and digital service providers.
Crackdown on Digital Asset Mule Accounts and Cybercrime
One of the central focuses of the updated laws is the fight against so-called digital asset mule accounts—bank or crypto accounts used to launder money from online scams. The new measures require crypto asset service providers (CASPs) to:
- Monitor and report suspicious transactions
- Suspend accounts linked to scams or illicit activity
Regulators also gain the authority to block foreign CASPs from serving Thai users in an effort to stem the flow of illicit funds through unregulated offshore platforms.
Violators could face fines of up to 300,000 baht (approximately $8,700) and prison sentences of up to three years.
Foreign Crypto P2P Services Targeted
The laws explicitly aim to restrict foreign peer-to-peer (P2P) crypto platforms, which are now classified under the Digital Asset Business Law as digital asset exchanges. The Thai SEC said the goal is to limit P2P crypto services to domestic providers, reducing exposure to external risks and making oversight easier.
These rules would also apply to other types of foreign CASPs, including crypto exchanges, wallets, and payment providers looking to do business in Thailand.
Broader Responsibilities for Banks and Telecom Firms
The new legislation doesn’t only affect crypto businesses. Non-crypto sectors are also being held accountable. Commercial banks, telecom providers, and social media platforms now share joint responsibility for damages if they fail to meet regulatory standards in preventing cybercrime.
The SEC stated:
“Commercial banks, telephone and telecom providers, social media platforms, and digital asset businesses will be jointly responsible for damages if they don’t comply with cybercrime prevention standards.”
Balancing Security With Innovation
Despite the clampdown on foreign crypto operations, Thai regulators appear open to innovation. The government has recently supported crypto payment trials in cities like Phuket and is reportedly considering the approval of crypto exchange-traded funds (ETFs).
The new legal amendments are expected to take effect soon, following their publication in the Royal Thai Government Gazette.
