On May 13, 2025, Tether, the issuer of the widely-used stablecoin USDT, announced the launch of its gold-backed token, XAU₮, on the Thai digital asset exchange Maxbit. According to Tether, each XAU₮ token is pegged to one troy ounce of physical gold, providing a digital representation of the precious metal.
This development follows the recognition of USDT as an approved cryptocurrency by Thailand’s Securities and Exchange Commission (SEC) in March 2025. Around the same time, the country’s Deputy Prime Minister expressed interest in leveraging cryptocurrency and blockchain technology to boost the local tourism sector.
Earlier, in December 2023, Tether partnered with Bitkub, Thailand’s largest cryptocurrency exchange by trading volume, to launch an educational initiative focused on stablecoins and blockchain. The program includes courses, awareness campaigns, and interactive learning formats designed to improve financial literacy among Thai users. USDT is currently the most traded stablecoin in Thailand and on the Bitkub platform.
As the leading stablecoin issuer globally, Tether reported in its Q1 2025 financial update that its stablecoin market capitalization had reached approximately $143.7 billion, backed by around $120 billion in U.S. Treasury holdings. The quarter also saw the addition of $7 billion in new USDT supply and 46 million new user wallets.
Despite its dominant market position, Tether has been actively pursuing regulatory compliance to strengthen its legitimacy and expand its reach. In January 2025, the company announced it was relocating its headquarters and core entities from the British Virgin Islands to El Salvador after receiving the country’s Digital Asset Service Provider (DASP) license. The CEO and COO acquired local residency and property as part of the move.
Thailand, one of Southeast Asia's most dynamic economies, is known for its export-oriented growth and high levels of cross-border trade and tourism. These factors, among others, have contributed to the government’s generally favorable stance toward digital assets, attracting both global players and startups to its growing crypto ecosystem. According to the 2024 Global Crypto Adoption Index by Chainalysis, Thailand ranks 16th worldwide.
This article explores Tether’s strategic expansion into Thailand and provides a comprehensive overview of the country’s regulatory framework for digital assets.
Thailand’s Evolving Regulatory Approach to Digital Assets
Thailand’s regulatory stance on cryptocurrencies has shifted from cautious observation to active acceptance, reflecting both global digital economy trends and domestic economic strategies.
On May 14, 2018, Thailand enacted the Digital Asset Business Decree, which classifies digital assets into two main categories: cryptocurrencies and digital tokens. Cryptocurrencies are defined as mediums of exchange, while digital tokens represent rights or value. The decree regulates two primary areas: token issuance and digital asset business operations, including exchanges, brokers, dealers, fund managers, investment advisors, and custodial wallet providers.
Regulated Token Issuance in Thailand
Thailand’s SEC oversees several types of token offerings, including:
- Investment tokens
- Utility tokens intended for exchange listing
- Cryptocurrencies
Tokens are further classified based on their revenue sources, such as real estate, infrastructure, sustainability-linked assets, or debt instruments. In 2022, SC Asset became the first company to conduct a security token offering (STO) approved by regulators, raising around 300 million Thai baht (approximately $8 million).
Requirements for issuing regulated tokens:
- Obtain a license from the Thai SEC
- Submit a registration statement and a token issuance prospectus
- Meet all eligibility criteria set by regulators
Exemptions from Token Issuance Regulations
Certain token types are exempt from full regulatory oversight:
- Digital tokens issued by the Bank of Thailand (BOT)
- Consumer-purpose utility tokens
- Limited offerings that meet specific criteria
Consumer utility tokens are those designed for consumption or as digital certificates, including tokens used exclusively within certain distributed ledger systems—such as those in CeFi or DeFi platforms—or tokens used for discounts, rewards, or voting rights within licensed exchanges.
Limited offerings are exempt if the issuer meets disclosure requirements and one of the following conditions:
- Tokens are offered only to institutional or high-net-worth investors
- Tokens are offered to no more than 50 specific individuals with a special relationship to the issuer, within a 12-month period
- The total offering value does not exceed 20 million Thai baht within a 12-month period
Regulations for Digital Asset Exchanges
Digital asset exchanges in Thailand are defined as platforms or networks that facilitate the buying, selling, or exchange of digital assets.
Key requirements for operating an exchange:
- Establish a legal entity in Thailand and obtain a license from the Ministry of Finance
- Refrain from engaging in proprietary trading of digital assets
- Maintain a minimum paid-up capital of 100 million Thai baht
- Meet ongoing net capital requirements
- Comply with anti-money laundering (AML) and counter-terrorism financing (CTF) regulations
- Implement know-your-customer (KYC), customer due diligence (CDD), and suspicious transaction reporting protocols
Best Practices for Market Entry
Companies looking to issue tokens or operate digital asset services in Thailand should consider the following:
- Establish a local entity and determine whether the token model requires an SEC license
- Ensure that company directors and executives have no history of bankruptcy or criminal records
- Develop a sound business plan and prepare audited financial statements
- Maintain timely disclosure of operational and financial data as required by the SEC
Thailand’s regulatory clarity and growing adoption of digital assets make it an attractive market for international blockchain firms. With proper compliance, businesses can participate in this expanding ecosystem.
Frequently Asked Questions
What is Tether’s XAU₮ token?
XAU₮ is a gold-backed stablecoin issued by Tether, where each token represents ownership of one troy ounce of physical gold. It combines the stability of gold with the flexibility of a digital asset.
Is USDT legal in Thailand?
Yes, the Thai SEC officially recognized USDT as a regulated cryptocurrency in March 2025. It is widely traded on licensed local exchanges.
What types of tokens are exempt from SEC regulation in Thailand?
Exempt categories include tokens issued by the central bank, consumer utility tokens, and limited offerings that meet specific criteria related to investor type, scale, or duration.
How can a company become a licensed digital asset exchange in Thailand?
Applicants must incorporate locally, obtain a license from the Ministry of Finance, meet capital requirements, and implement robust AML and KYC frameworks. Explore more strategies for entering regulated digital asset markets.
What was Thailand’s rank in the 2024 Global Crypto Adoption Index?
Thailand was ranked 16th in the world in the Chainalysis 2024 index, reflecting strong grassroots and institutional adoption of cryptocurrencies.
Does Thailand allow security token offerings (STOs)?
Yes, the Thai SEC permits STOs for assets like real estate and infrastructure, with SC Asset’s 2022 offering serving as a landmark case.