Thai Crypto Operators Must Verify Self-Custody Wallets Under New Regulations
Thailand's Securities and Exchange Commission (SEC) has finalized its Travel Rule for Digital Assets, requiring licensed operators to collect and transmit information on crypto senders and recipients. This rule is part of a broader effort to tighten oversight of crypto transfers in the country.
The regulation will require digital asset businesses to identify transaction counterparties, check self-hosted wallets, and retain transfer records for at least five years. The rules are set to take effect on February 27, 2027, giving companies nearly six months to update their compliance and data-sharing systems.
One of the more significant changes involves self-hosted wallets. When customers send assets from an exchange to a wallet they control or deposit crypto from one, Thai digital asset operators will have to verify ownership of or control over that wallet. This is in line with guidance from the Financial Action Task Force (FATF), which does not directly subject peer-to-peer transfers between two unhosted wallets to the Travel Rule but expects regulated providers to manage risks when their customers transact with such wallets.