Will Thailand’s equity crowdfunding regulation create investment?

Thailand, with its economy based on SMEs, makes a natural fit for crowdfunding. Crowdfunding is slowly gathering pace in Thailand, with platforms offering primarily reward and donation options. In an attempt to stimulate growth among start ups, SMEs and its nascent Fintech industry Thailand’s Security and Exchange Commission (SEC) published equity crowdfunding regulations in May 2015. Fintech businesses which involve financial payments and loans will be under the Bank of Thailand’s jurisdiction.

The regulations have focussed on obtaining market acceptance and promoting investor protection. Retail investors have stringent limits surround investment: they may only invest Bt 50,000 (1420 USD) per start up and no more than Bt 500,000 (14,200 USD) per year.

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