The Thai Bank Market Association announced the incorporation of fintech platform based on blockchain technology. New system will cut issuance times in more than half.
The Thai Bank Market Association (TBMA) is planning to implement new registrar system that unites financial technologies and blockchain. There are ongoing plans to put it to practice during the current year to improve the growth of the secondary market.
The President of TBMA would like to apply to the regulatory sandbox by the end of the year to start the live experiments of the new platform under the regulators’ supervision. If they manage to succeed it’s going to be the first platform applied to both the Bank of Thailand and the Securities and Exchange Commission (SEC).
They are expecting that the platform will issue bond certificates in 3-4 days instead of 7-15 days and the ultimate goal is to reduce that time to two days. New platform will eliminate the need of physical certificates because the book entries are going to be enough for to represent the holding and settlement of securities.
Согласно отчету:
The Secondary Market Showed An Impressive Growth in 6 Years
The president of the association recognized the growth of the secondary market within the last 6 years and is going to support it by removing all the risks that might limit it.
The platform will run on a private blockchain. Issuers, registered companies, regulators, and investors will need to register to be allowed to use the platform.
Thailand is Dedicated to Accept Blockchain Technology
Clients will be able to check interest rates and other conditions on a bond fact sheet during the initial stage of the platform. Within nine months, it will start servicing bond deposits. The last phase takes twelve months until completion, and it will introduce the Bond Coin, a clearing, and settlement system.
Thailand’ Securities and Exchange Commission recently published a new regulation on ICO which only permits issuers to receive payments in Bitcoin, Ethereum, Ripple, Bitcoin Cash, Ethereum Classic, Stellar, and Litecoin. Earlier this month, the association of Securities Companies also announced its plans to launch a cryptocurrency exchange.