Custodial wallet / SaaS in Thailand
Hosted wallet provider that holds keys on behalf of end users, often white-labeled to businesses (custody as a service).
Custodial SaaS is conditionally permitted in Thailand with a local entity, subject to AML obligations and high licensing burden.
Verdict Details
- Permitted
- conditional
- Local entity required
- Yes
- Licensing burden
- High
- Last updated
- 2026-07-13
AML Obligations
- Operators are classified as 'financial institutions' under the Anti-Money Laundering Act, supervised by AMLO.
- Mandatory customer due diligence (CDD) and ongoing transaction monitoring required.
- Internal AML/KYC procedures must be documented and implemented.
- Annual AML audits required.
- Custodial wallet operators must comply with SEC Thailand AML/KYC regulations as part of Digital Asset Exchange licensing.
Key Restrictions
- Custody is included under the Digital Asset Exchange license category — there is no standalone 'custodian' license; a THB 50M minimum capital Exchange license is required (custodial exchanges may need THB 100M minimum paid-up capital deposited in a Thai bank).
- Must be a Thai-registered legal entity with qualified directors/executives, a compliance officer, and local management.
- Customer asset segregation is required.
- Net capital adequacy requirements apply.
- Crypto payments are banned (SEC + BOT joint 2022 guidance), limiting use cases for custodial wallets.
- Must consult with the BOT before beginning operations.
- Must comply with BOT-overseen risks including settlement, money laundering, cybersecurity, and consumer protection.
- Accurate accounting, regular audits, IT/cybersecurity (per Cybersecurity Act and PDPA), risk management, business plan, and professional liability insurance required.
Key Risks
- No standalone custody license exists — custody is subsumed under the Exchange license category, creating structural ambiguity for pure custodial/SaaS operators.
- High capital barrier (THB 50M-100M) for a SaaS/custody-as-a-service model that may not operate an exchange.
- The crypto payment ban restricts many enterprise use cases that custodial wallets typically serve.
- BOT consultation requirement adds a parallel regulatory process on top of SEC licensing.
- Tax ambiguity: capital gains exemptions (2025-2029 Ministerial Regulation No. 399) apply only through licensed operators, but mining/staking/airdrops remain taxed as ordinary income at progressive PIT rates.
Evidence
This verdict synthesizes the following facts. Each fact links to its primary source(s).
SEC Thailand — Digital asset operator licensing (5 subcategories), enforcement
BOT — Payment systems, stablecoins, crypto payment ban (joint 2022 guidance)
Emergency Decree on Digital Asset Business B.E. 2561 (2018) — Digital asset exchange, broker, dealer, fund manager, advisory licensing
VASP: Digital Asset Operator License from SEC Thailand — 5 categories: Exchange (THB 50M), Broker (THB 25M), Dealer (THB 5M), Fund Manager (THB 5M), Advisory (THB 5M). ~15 licensed operators. Bitkub dominant exchange. ICO portal licensing separate. 6-12 months.
CUSTODY: Included under Digital Asset Exchange license; customer asset segregation required. Net capital adequacy required.
EXCHANGE: Digital Asset Exchange license — THB 50M (~$1.4M USD) minimum capital. Crypto payments banned (2022, SEC + BOT joint guidance). Utility tokens and investment tokens have different regulatory treatments.
Capital: Minimum paid-up capital deposited in a Thai bank, varying by license type and custody model (e.g., THB 100M for custodial exchanges).
AML/KYC: Mandatory under the Anti-Money Laundering Act (supervised by AMLO); requires internal procedures, customer due diligence, ongoing transaction monitoring, and annual audits. Operators are "financial institutions" for AML purposes.
Local Presence: Must be a Thai-registered legal entity with qualified directors/executives, a compliance officer, and local management.
Other: Accurate accounting, regular audits, IT/cybersecurity (per Cybersecurity Act and PDPA), risk management, business plan, professional liability insurance, and client fund protections.
Incorporate as a Thai entity and prepare documents: business plan, financials, IT security/risk policies, AML/KYC framework, team qualifications.
Submit full package to SEC for review (within 90 days).
SEC forwards recommendation to MOF, which approves/rejects within 60 days.
Total timeline: Several months; post-license, ongoing supervision by SEC.
Consult with the BOT before beginning operations
Comply with BOT-overseen risks including settlement, money laundering, cybersecurity, and consumer protection
2025-2029 exemption: Ministerial Regulation No. 399 (B.E. 2568), published September 5, 2025, exempts PIT on qualifying capital gains via licensed operators under the 2018 Emergency Decree on Digital Asset Businesses; offshore or unlicensed trades remain taxable.
Earnings from mining, staking, airdrops, or crypto payments are taxed as ordinary PIT income at 0%-35% progressive rates.
Crypto gains from sales, exchanges, or use for goods/services are taxed as assessable income under Section 40(4)(h) of the Revenue Code, using FIFO or moving average cost basis; losses offset gains in the same year.
Verdict Attribution
- Source:
- AI-Generated · Unreviewed
- AI synthesized:
- 2026-07-13 (deepseek-chat)
- Last updated:
- 2026-07-13
- Confidence:
- medium
This verdict was produced by an AI model from the underlying facts. Confirm with counsel before relying on it for material decisions.
Conditional — custodial wallet/SaaS operators must obtain a Digital Asset Exchange license (THB 50M-100M capital) and register as a Thai entity, with no standalone custody license category, and face additional BOT oversight and crypto payment restrictions.
Questions this verdict aims to answer
- What custody license / qualified-custodian status applies?
- What segregation, insurance, and proof-of-reserves rules apply?
- What AML obligations attach to the SaaS vs the white-label client?