Thailand’s draft Emergency Decree on Technology Crimes Suppression, which we covered in a client alert in January 2025 primarily addressed to telecom operators and financial institutions, is expected to have significant implications for a wide range of business operators.  The draft emergency decree has already been approved by the cabinet but may undergo further developments as it continues in the legislative process. In this article, we will highlight the material impacts of the draft emergency decree on overseas and local fintech operators. Expanded Definition of “Technology Crimes” The definition of “technology crimes” now includes the following acts of forgery or alteration: Forging or altering the identity of individuals and biometric characteristics by utilizing computer or communication systems or other electronic means to commit offenses. Forging or altering symbols, trademarks, or seals of groups (e.g., foundations, community enterprises) or juristic persons, including acts by juristic persons using individuals or juristic persons as nominal directors or shareholders, regardless of whether such individuals or legal juristic persons reside in Thailand. Forging or altering digital or online platforms, regardless of the platform’s location or legal status. Individuals who conspire, utilize, assist, or support the commission of these offenses will face the same penalties as the principal offender. Business Operator Definition The scope of “business operators” is now expanded to cover various fintech and digital asset operators beyond those under the Payment Systems Act (PSA). The draft emergency decree now includes the following operators, whether they are legally authorized or not: Business operators under the PSA and business operators who operate “as if” they are payment system operators Business operators under the Royal Decree on Digital Asset Businesses or business operators who operate “as if” they are digital asset business operators. Foreign exchange business operators. Disclosure and Exchange of Information Business operators must disclose

Thailand’s official draft Platform Economy Act (PEA) was released on January 15, 2025, for public comment until February 15, 2025. The draft PEA is positioned as a general or overarching law for digital intermediary services and digital platform service businesses. The official release of the draft came after the sharing of the set of principles that would form the basis for the official draft PEA in November 2024. The draft PEA incorporates those principles and adds more detailed provisions. Especially notable is that the draft PEA requires all intermediary service providers and online platform operators—both Thai and foreign—to appoint a point of contact to liaise with the Electronic Transactions Development Agency (ETDA) if they have any users in Thailand. However, the draft PEA does not mandate establishment of a local entity in Thailand. Types of Intermediary Services The draft PEA sets out a three-tiered classification system for different types of service providers, ordered from fewest obligations to most: Intermediary services. Intermediary services are further divided into three subcategories: mere conduit, caching, and hosting. Each type of intermediary service has different safe harbor provisions, which define their scope and limitations. Online platform services. Online platform services are defined as involving “the provision of intermediary services in the hosting category that involve facilitating the matching of various types of users to enable transactions or interactions, whether or not a fee is charged. Additionally, such services may include other provisions to facilitate these transactions or interactions.” Key obligations for online platform providers include: Informing users of their rights and duties under relevant laws Implementing a notice-and-action mechanism Disclosing advertising information Publishing T&Cs, including details such as service fees, algorithms, and complaint management mechanisms. Very large online platform services. Very large online platform services (VLOPs) have extra duties beyond regular online platform services,

Thailand’s Fiscal Policy Office (FPO) has released a draft of its planned Financial Business Hub Act, which is in line with the government’s aim of positioning Thailand as a regional financial hub and a critical player in the global economy. The draft act, on which the FPO is accepting comments until January 9, 2025, details the framework for promoting and attracting international financial businesses and related services to operate in Thailand, proposes various incentives, and outlines supervisory guidelines. This article examines key elements of the draft Financial Business Hub Act relevant to financial business operators. Incentivized Financial Businesses The draft act identifies the financial businesses to be promoted and incentivized. These target businesses include: Commercial banking businesses, Payment service businesses, Securities businesses, Derivatives businesses, Digital assets businesses, Insurance and reinsurance brokerage businesses, and Other financial-related businesses as determined by the Committee for the Supervision and Promotion of Financial Centers. Thailand’s finance minister explained that initially, the draft law intends to target businesses using an “out-out” model, which describes the raising of capital abroad for investment abroad, before expanding to an “out-in” model, in which capital is raised abroad for investment domestically. Therefore, the draft law currently specifies that the target businesses must only provide services to nonresidents without soliciting residents of Thailand to use their services. Authorization Targeted financial business operators will need to receive authorization from the Committee for the Supervision and Promotion of Financial Centers. The main eligibility criteria for authorization are the incorporation an entity (e.g., a company registered in Thailand, a branch of a foreign juristic person) with an office in designated areas to be specified in a royal decree (currently expected to be Bangkok and adjacent provinces) and the possession of other qualifications as prescribed in the draft act. Target businesses in Thailand will

Thailand has released a draft amended Electronic Transactions Act (ETA), which aims to overhaul the current version of the law from 2001 to correct its enforcement limitations and update the ETA to be consistent with current electronic transactions practice. The draft ETA is open for public comment until December 20, 2024. The draft ETA introduces a new supervisory scheme that (1) recognizes electronic transactions executed by both current and future technologies without having to enact regulations recognizing the technology, (2) replaces the licensing, registration, and notification scheme for electronic transaction service providers with a trust-mark scheme, and (3) introduces a new mechanism to regulate electronic transaction service providers. The major amendments under the draft ETA address: Relationship with other relevant laws. The draft ETA is designated as the primary law governing electronic transactions, whether between private parties or between private parties and the state. However, if specific laws—including those on electronic administrative procedures—prescribe methods for conducting particular electronic transactions, those laws will prevail. Definitions. The draft ETA revises some existing terms, such as “transaction,” which is now more clearly defined as “any act relating to civil or commercial activities, including administrative procedures, administrative contracts, and any other actions by government agencies or officials.” It also introduces new definitions, such as “biometric data,” “automated system,” and “electronic seal.” Electronic transaction reliability. The draft ETA now clearly provides that electronic transactions executed using a method or an electronic method stipulated by the Electronic Transactions Development Agency (ETDA) as reliable are themselves presumed to be “reliable.” In case of a challenge over the implementation of a certified method or certified service, the challenging party bears the burden of proof and related expenses. Electronic transferable instruments. The draft ETA adopts the UNCITRAL Model Law on Electronic Transferable Records (ETRs) in recognizing ETRs (e.g.,