The new rules are due to come into force on March 16.

The regulator consulted with local crypto market participants before updating its digital asset regulations and approving the USDT stablecoin as a means of payment within the country.

Tether reported that the decision of the Thai SEC will strengthen the company's position in the local market. Representatives of the issuer noted that Thailand is among the top 20 countries in terms of digital asset adoption, and USDT accounts for approximately 40% of cryptocurrency trading volumes in the country.

Earlier, Thailand's top financial regulator said it was exploring the possibility of launching local Bitcoin exchange-traded funds (ETFs) that would be available to both institutional investors and individuals.