The Thailand SEC has approved Tether’s USDt and Circle’s USDC for cryptocurrency trading, allowing them on regulated exchanges. This follows public feedback on regulatory changes that become effective on March 16. The move supports the country’s aim to encourage cryptocurrency and stablecoin adoption, complementing existing digital assets in Thailand.
The Thailand Securities and Exchange Commission (SEC) has granted approval for Tether’s USDt (USDT) and Circle’s USDC (USDC) to be utilized in cryptocurrency trading within the country. This announcement was made last week following public consultations on regulatory changes finalized in February, which will take effect on March 16.
The approval reflects a growing sentiment in Thailand towards legitimizing cryptocurrency use and promoting stablecoins to enhance domestic revenue. This move follows the establishment of a regulatory sandbox in August 2024, enabling select service providers to test cryptocurrencies in a controlled environment.
With the inclusion of USDT and USDC, there are now seven cryptocurrencies officially approved for trading in Thailand. This list also encompasses Bitcoin (BTC), Ether (ETH), XRP (XRP), Stellar Lumen (XLM), and certain cryptocurrencies that the Bank of Thailand is examining for use in payment settlements.
In a statement released on March 10, Tether indicated that this new approval will allow USDt to be integrated by digital asset businesses in Thailand, promoting its usage as a payment method.
The adoption of stablecoins is on the rise, with these assets emerging as an alternative to traditional remittance methods, particularly in many emerging economies. A report by Chainalysis described stablecoins as a “transformative” solution for cross-border payments, highlighting that stablecoin remittances are 60% less expensive than conventional options in regions like Sub-Saharan Africa.
Venture capital firm a16z Crypto reported that there were 28.5 million unique stablecoin users who conducted over 600 million transactions in December alone, although this figure remains a small part of the $3.4 trillion global payments market. The total circulating supply of stablecoins has reached approximately $230 billion, with Tether’s USDt representing over 63% of that market value.
The recent approval of USDT and USDC by the Thailand SEC signals a significant step towards the acceptance of cryptocurrencies in the financial ecosystem of the country. This endorsement, alongside rising stablecoin adoption, highlights a shift towards innovative payment solutions that may facilitate cheaper and more efficient remittance systems, particularly in emerging markets. As Thailand continues to legitimize cryptocurrency use, stakeholders anticipate increased engagement in the digital asset market.
Original Source: cointelegraph.com
