Thailand's Securities and Exchange Commission (SEC) Has Added Tether's USDT and Circle's USDC to Its Approved List of Cryptocurrencies

The stablecoins join Bitcoin (BTC), Ethereum (ETH), XRP, and Stellar (XLM) as tokens used in the Bank of Thailand's settlement system.

The Securities and Exchange Commission (SEC) of Thailand has included Tether’s USDT and Circle’s USDC in its approved list of cryptocurrencies.

The addition of the two largest stablecoins follows a public consultation earlier this year.

The SEC’s president, shown above, is pictured at the 2023 Korea Blockchain Week in March.

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Thailand’s SEC has added Tether’s USDT and Circle’s USDC to its approved list of cryptocurrencies, it announced on Friday.

The stablecoins join Bitcoin (BTC), Ethereum (ETH), XRP, and Stellar (XLM) as tokens that can be used in the Bank of Thailand’s settlement system.

A public consultation was held in February where most respondents supported the proposal of adding USDT and USDC. The new regulations will come into effect on 16 March, allowing exchanges to use these stablecoins for trading pairs.

Stablecoins have become increasingly popular, especially in developing regions such as Southeast Asia, Africa, and Latin America, where they provide an alternative to traditional banking systems. USDT, the largest stablecoin by market capitalization, is valued at $142 billion, while USDC holds a market cap of $58 billion.

“We highly value the Thai market and are continuously exploring ways to enhance our services and offerings. Our priority is to provide users in Thailand with a secure, transparent, and reliable stablecoin experience,” said Paolo Ardoino, CEO of Tether.

“We are committed to supporting the long-term success and adoption of stablecoins in Thailand and look forward to contributing to the growth of the country’s digital asset ecosystem by fostering a strong and sustainable stablecoin infrastructure.”

The move is expected to enhance liquidity in the country’s crypto market, making digital asset transactions more efficient and accessible for investors and businesses.

Earlier this week, Japan approved major reforms to its stablecoin laws.

The new rules would see greater flexibility for stablecoin issuers in how they back their digital currencies. As it stands, firms must match the supply of stablecoins 1:1 with cash deposits in regulated banks but the new amendments would allow issuers to use certain Japanese and U.S. government bonds with a remaining maturity of three months or less can be applied.

Last month, Standard Chartered Bank Hong Kong (SCBHK), Animoca Brands, and HKT announced a joint venture to develop and issue a Hong Kong dollar-backed stablecoin.

The consortium intends to apply for a license under the Hong Kong Monetary Authority's (HKMA) new regulatory framework for stablecoin issuers, and hopes to become the first to launch a compliant HKD-pegged digital currency in the region.

Meanwhile, President Donald Trump has prioritized crypto stablecoins and banned the work on a digital currency issued by a central bank in a bid to maintain the dollar's position as the world's reserve currency.

An executive order in January called for the controlled creation of stablecoins backed by the dollar. The banking system, privacy, and US sovereignty are all threatened by CBDCs, according to the order.

The directive positions stablecoins, cryptos engineered to exhibit reduced volatility compared to assets such as Bitcoin, rendering them more suitable for transactions and transfers—into the contest to maintain the dollar's status as the global reserve currency amid opposition from geopolitical adversaries like China and Russia.