- Thai crypto operators will have to verify receiving parties before processing transfers.
- They also must retain all transaction records for five years for regulatory purposes.
- Self-custody transfers will require proof of wallet ownership under new rules.
Thailand will be tightening its rules on crypto transfers starting from February 27, 2027. After that date, crypto operators in Thailand will have to verify who’s on the receiving end of every transfer before they can process it.
The new rule, known as the “Travel Rule for Digital Assets”, requires exchanges and other VASPs to attach sender and receiver info to each transaction, making crypto transfers look a lot more like traditional bank wires when it comes to compliance.
Additionally, Thailand’s SEC says crypto operators must keep records for every transaction for five years so regulators can access and check them quickly when needed. Every crypto transfer will require collecting sender and receiver details, including names and account numbers.
The new rules don’t stop people from holding their own keys or using their own wallets, but regulated platforms will have to verify that users actually own or control the wallet they’re using for a transfer.
What Happens When a User Withdraws Crypto From an Exchange?
After February 27, 2027, if a user buys Bitcoin or USDT on a licensed Thai exchange and wants to send it to their own wallet, the new framework will change how that works.
However, Thailand’s SEC hasn’t set a mandatory, specific technical way to do this yet, so different exchanges could end up using different verification methods.
As such, depending on how the exchange sets up its compliance system, users might have to go through an extra ownership check before they can withdraw, and the same applies the other way around.
That said, this can lead to delays and longer waits. An exchange might have to confirm that a user controls a wallet before letting a transfer go through. If a transaction raises any risk concerns, it could get flagged for extra review under the platform’s risk management rules. That means more checks to go through and, in some cases, longer wait times.
Still, it’s too soon to conclude that every withdrawal to a private wallet will be slower. A lot depends on how each Thailand platform sets up its verification system before the February 2027 deadline.
Related: Thailand SEC Files Criminal Complaint Against Bitkub Over False Reports
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