Thailand’s Securities and Exchange Commission (SEC) is setting up a new trading platform using distributed ledger technology (DLT).
This system will allow securities firms to trade digital tokens, which will expand investment options and reach a wider audience.
According to Deputy Secretary-General Jomkwan Kongsakul, the SEC is working to improve efficiency in the capital market by creating a digital securities ecosystem. New regulations will support the issuance of electronic securities and make it easier to buy and sell digital investment products.
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So far, four digital token projects have been approved for the SEC’s new system, with two more under review. These include projects focused on environmentally friendly investments and other finance-related opportunities. The new system aims to simplify bond trading by fully digitizing key processes like settlement, payments, investor registration, and trade execution.
A key feature of this system is its ability to support multiple blockchains, which ensures different networks can work together. Kongsakul explained:
In the future, there may be multiple chains for trade. Trading through DLT on all systems is connected by a shared ledger, which is expected to be completed soon.
The SEC will introduce two types of digital securities. One category includes traditional securities that have been converted into digital tokens. The other consists of securities created specifically for digital trading.
Meanwhile, Malaysia's Prime Minister, Datuk Seri Anwar Ibrahim, recently considered an initiative to introduce regulations for cryptocurrency in the country. What did he say? Read the full story.
