Thailand SEC has Issued New Regulations on the Custody Cryptocurrencies

(CTN News) – Thailand’s Securities and Exchange Commission (SEC) has published new rules regarding cryptocurrencies that are kept in custody.

According to the government, businesses that provide crypto custody services must now “create a digital wallet management system to accommodate efficient custody of digital assets and keys and assure the safety of customers’ assets.”

Thai SEC’s New Crypto Rules

Tuesday saw the publication of new regulations by Thailand’s Securities and Exchange Commission (SEC) regarding the “administration of digital wallets for custody of digital assets and keys.” The new rules were effective on January 16.

According to the Thai SEC, companies that offer custody services for customers’ digital assets must:

Establish a digital wallet management system to keep track of digital assets and keys and make sure clients’ assets are safe.

Additionally, according to the SEC, they must have a “policy and guidelines” for managing “digital wallets and keys” and communication to clarify the policy, action plans and procedures, work supervision, and internal control to guarantee policy compliance.

A “policy and procedures for designing, developing, and administering digital wallets as well as creating, preserving, and accessing keys or other associated information responsibly, securely, and safely” must also be developed by the enterprises, according to the regulator.

In addition, according to the Thai SEC, cryptocurrency custody service providers need to set up a “contingency strategy in case of any event that may impair the management system of digital wallets and keys.”

This entails formulating and testing action plans, selecting accountable individuals, and disclosing the incident.

The securities watchdog added the following:

In case of any event impacting the security of systems related to digital asset custody, which could impact clients’ assets, a security audit and forensic investigation are also required.

Before the new regulations went into effect, existing crypto service providers must abide by the new guidelines within six months of the new regulations.

The Thai SEC has stepped up its efforts to protect investors concerning cryptocurrencies. The regulator introduced Crypto Academy earlier this month to assist investors in becoming familiar with digital assets before investing.

Related CTN News:

Selecting a High-Quality Bitcoin Casino – a Short Walkthrough

Find Out More about these 3 currencies

Best Anonymous Bitcoin Wallets for 2022