Thailand’s Securities and Exchange Commission has given approval to the Thai Bond Market Association (ThaiBMA) to own a securities depository license. With this license, ThaiBMA will be able to test Distributed Ledger Technology (DLT) in its regulatory sandbox to enable investors to trade securities.
Ruenvadee Suwanmongkol, secretary-general of the SEC, revealed that the board has approved the issuance of the license to the ThaiBMA under the Innovation Testing and Development Project. This decision helps to support regulatory sandbox services with a focus on helping investors to re-issue their bonds in the secondary market in a more time-efficient manner.
ThaiBMA has set up a system supported by DLT technology to help those involved in issuing and offering debt securities such as investors, issuers, distributors, registrars, depository centers and regulatory agencies to be able to check debt information more conveniently, reduce the instances of duplication, and also reducing the time required in the registration book closing process.
ThaiBMA aims to reduce the problems in the private equity market – long processing time in verifying information which would help confirm ownership of the instrument holder and the lack of a complete data center resulting in failures of each bond registrar’s information records, which causes delay and inefficiency in the process of issuing and offering securities.
You may also want to read: Thai SEC Prepares to Adjust Regulations on Digital Assets
