Tether Launches Gold-Backed Token in Thailand: Digital Asset Regulatory Insights

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Thailand’s regulatory stance on digital assets has evolved from cautious observation to proactive embrace, positioning the country as a key player in Southeast Asia’s fast-growing crypto landscape. This shift aligns with broader economic goals, including boosting tourism and attracting fintech innovation. A pivotal moment in this transformation came on May 13, 2025, when Tether, the issuer of the world’s largest stablecoin USDT, announced the launch of its gold-backed token, XAU₮, on Maxbit, a licensed digital asset exchange in Thailand.

Each XAU₮ represents ownership of one troy ounce of physical gold, stored in secure vaults and fully audited—marking a significant step toward bridging traditional finance with blockchain-based asset tokenization.

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The Regulatory Evolution: From Caution to Crypto-Friendly Policies

Thailand’s journey into digital asset regulation began in earnest with the enactment of the Digital Asset Business Decree on May 14, 2018. This landmark legislation classified digital assets into two primary categories:

The decree laid the foundation for comprehensive oversight by the Securities and Exchange Commission of Thailand (SEC), regulating both token issuance and digital asset service providers such as exchanges, custodians, and investment advisors.

This early regulatory clarity helped Thailand stand out in a region where many countries remained hesitant. By establishing clear rules, the Thai government fostered investor confidence and attracted major global players like Tether.

Tether’s Strategic Expansion in Thailand

Tether’s growing presence in Thailand reflects a calculated strategy to align with compliant markets and expand its suite of real-world asset (RWA) offerings.

In March 2025, the Thai SEC officially recognized USDT as an approved cryptocurrency for use on regulated platforms—paving the way for wider institutional adoption. Around the same time, Thailand’s Deputy Prime Minister announced plans to leverage blockchain technology to enhance the country’s tourism sector, including enabling crypto payments at major attractions.

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 literacy. The program includes courses, public awareness campaigns, and interactive learning modules aimed at improving financial inclusion.

Notably, USDT is the most traded stablecoin on Bitkub, underscoring its dominance and trust among Thai users.

Understanding Thailand’s Token Issuance Framework

The Thai SEC maintains a nuanced approach to token classification, ensuring that innovation is balanced with investor protection.

Regulated Token Offerings

Tokens that qualify as investment instruments or are intended for listing on exchanges fall under strict regulation. These include:

To issue such tokens, entities must:

A notable success story emerged in 2022 when real estate developer SC Asset raised approximately 300 million THB (~$8 million) through a Security Token Offering (STO), becoming the first officially sanctioned STO in Thailand.

Exemptions from Regulation

Certain token types are exempt from full registration, provided they meet specific criteria:

These exemptions encourage innovation while minimizing systemic risk.

Oversight of Digital Asset Exchanges

To operate legally in Thailand, digital asset exchanges must comply with rigorous standards set by the Ministry of Finance and the SEC.

Key requirements include:

Additionally, exchanges are prohibited from engaging in proprietary trading to prevent conflicts of interest—a critical safeguard for market integrity.

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Why Thailand Appeals to Global Crypto Firms

Several factors make Thailand an attractive hub for digital asset businesses:

Moreover, Tether’s decision to list XAU₮ on a regulated Thai exchange signals growing confidence in the country’s ability to support sophisticated financial products like tokenized commodities.

Frequently Asked Questions (FAQ)

What is XAU₮?

XAU₮ is a gold-backed digital token issued by Tether. Each token is pegged to one troy ounce of physical gold held in allocated storage, combining blockchain transparency with tangible asset value.

Is USDT legal in Thailand?

Yes. As of March 2025, the Thai SEC officially recognized USDT as an approved cryptocurrency for use on licensed digital asset platforms.

Can foreigners launch a crypto project in Thailand?

Yes, but foreign entities must establish a local registered company and obtain necessary licenses from the Thai SEC if their project involves regulated activities like token issuance or exchange operations.

How does Thailand regulate stablecoins?

Stablecoins like USDT are treated as cryptocurrencies if they function as payment mechanisms. They must be listed on approved exchanges and undergo due diligence regarding reserves and issuer transparency.

Are there tax implications for crypto trading in Thailand?

Yes. Profits from digital asset trading are subject to capital gains tax. The Revenue Department requires traders to report income and pay applicable taxes—non-compliance can result in penalties.

What role does blockchain play in Thailand’s tourism industry?

The government is exploring blockchain for identity verification, loyalty programs, and crypto-based payments at tourist sites to improve efficiency and attract tech-savvy travelers.

Final Thoughts: A Model for Responsible Innovation

Thailand’s balanced approach to digital asset regulation—supportive yet cautious—offers a blueprint for emerging economies navigating the complexities of Web3 integration. By welcoming innovations like Tether’s XAU₮ while enforcing strong consumer protections, Thailand demonstrates how tradition and technology can coexist.

For global firms eyeing Southeast Asia, Thailand presents not just market potential—but a regulatory environment built on clarity, compliance, and long-term vision.

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