Starting July 3, the country’s Anti-Money Laundering Office (AMLO) will require crypto exchanges to check platform users’ identities using a “dip-chip” computer.

User authentication would also take place in person at local crypto exchanges. Customers’ Thai IDs will be checked as part of the authentication process.

The fingerprint embedded on their ID card can be processed. Local Thai gold shops have already started using this procedure for customer verification because it is more effective.

Previously, crypto investors could do everything online to get accepted by a crypto exchange, from submitting an application form to customer identity verification and account approval.

However, this will soon change with the implementation of the new framework on July 2.

The aim is to provide tighter guidelines that align with the Securities and Exchange Commission’s goal of enforcing anti-money laundering policies and reducing fraud. The process of being officially permitted to open a crypto account may take longer due to the new implementations.

Poramin Insom, a co-founder of Satang Corp, attests to this. He said,”

“As new account applications continue to flood in, most digital asset exchanges are still busy preparing their systems to satisfy the increasing number of clients. However, if the application process becomes more difficult, this growth can be slowed.”

The Thailand Digital Asset Operators Trade Association forum is a self-regulatory organisation designed to promote conversation on digital asset policies between government bodies like the Securities and Exchange Commission (SEC) and the Anti-Money Laundering Office. It will

go through the implementation of this new move in greater detail.

Prospective customers’ documents must be reviewed to ensure that they follow the SEC’s requirements for the Know-Your-Customer (KYC) procedure and suitability test. Following that, the application must be approved by the appropriate government departments.

The application will be refused if the consumer lives in a country where cryptocurrency is prohibited or if the documents are discovered to be false.

Anti-money laundering laws require regulators to audit transactions worth more than 1.8 million baht.

In Thailand, there has been a surge in interest in cryptocurrencies. Approximately 57 per cent of Thailand’s cryptocurrency investors are between the ages of 26 and 40.