The deputy secretary of the Thai Securities and Exchanges Commission (Thai SEC) has declared that Thai-related Security Token Offerings (STOs) launched in an international market break the law, English-language daily Bangkok Post reports Nov. 29.

The aforementioned article states that deputy secretary Tipsuda Thavaramara “said the regulator will have to consider how to deal with STOs for issues such as share ownership, voting rights and dividend.”

There still confusion about how to regulate these kind of offerings, Thavaramara reportedly declared:

“At the moment, we have not decided whether STOs fall under the SEC Act or the Digital Asset Act, but it depends on the STO's conditions and the details in its white paper.”

Bangkok Post reports that Thavaramara noted that a “STO affiliated with Thai investors launching in an international market at this point would be guilty of wrongdoing under the Digital Asset Act” as it would avoid “regulated fund-raising channels.”

Prinn Panichpakdi, managing director of CLSA Securities Thailand, a Thai securities brokerage provider, stated that “the SEC will have to consider how to deal with this” or STOs will “will launch in other markets.”

As Cointelegraph recently reported, Thailand has revealed plans to legalize Initial Coin Offerings (ICO), authorize cryptocurrency exchanges, and regulate cryptocurrency in a way that legitimizes it. The governor of the Bank of Thailand (BoT) also said in late November that it will take between three and five years for cryptocurrencies to replace cash.