Thailand SEC Implements Travel Rule for Digital Asset Transfers by 2027

Thailand’s Securities and Exchange Commission (SEC) has announced the implementation of the “Travel Rule for Digital Assets,” which mandates that all licensed digital asset operators in the country must collect, verify, and transmit originator and beneficiary information for every transaction. This regulation is set to take effect on February 27, 2027, giving operators less than six months to establish compliance infrastructure.

Under the new framework, operators are required to conduct due diligence on counterparties and intermediaries involved in transactions. They must also verify ownership of self-hosted wallets before processing any transactions involving them. Additionally, all transaction records must be retained for a minimum of five years.

The SEC has removed a previously proposed exemption for smaller transfers, meaning that the new rules will apply to all transactions, regardless of size. This decision aligns with international standards set by the Financial Action Task Force (FATF) aimed at combating money laundering and terrorist financing.

The SEC developed these regulations in collaboration with Thailand’s Anti-Money Laundering Office and following public consultations that indicated broad support for the proposed measures. As operational costs are expected to rise due to compliance requirements, smaller operators may face challenges in maintaining their market presence.