Bybit Insights: Thailand’s SEC Advances Crypto Innovation with New Utility Token Framework

Thailand's Securities and Exchange Commission (SEC) is taking a progressive step toward blockchain innovation by proposing new regulations that would allow cryptocurrency exchanges to issue their own utility tokens. The draft framework, currently open for public consultation, emphasizes transparency by requiring disclosures of related parties to prevent insider trading. This move underscores the regulator's balanced approach to fostering digital asset growth while safeguarding market integrity. The initiative follows recent enforcement actions against non-compliant crypto operators, signaling a maturing regulatory environment. For platforms like Bybit operating in or eyeing the Thai market, these developments could create new opportunities for exchange-issued tokens while reinforcing compliance standards. The proposal reflects Southeast Asia's evolving crypto landscape, where regulators are increasingly seeking to accommodate innovation within clear guardrails.

Thai SEC Proposes Rules for Exchange-Issued Utility Tokens

Thailand's Securities and Exchange Commission is soliciting feedback on new regulations that WOULD permit cryptocurrency exchanges to issue their own utility tokens. The proposed framework mandates disclosure of related parties to prevent insider trading, reflecting the regulator's dual focus on fostering blockchain innovation while maintaining market integrity.

The consultation follows recent enforcement actions against non-compliant platforms like Bybit and OKX, which face access restrictions starting June 28. This regulatory push comes alongside the SEC's gradual expansion of approved digital assets, having recently added stablecoins USDT and USDC to its whitelist alongside established cryptocurrencies like Bitcoin and Ethereum.

Market participants have until July 21 to submit comments on the proposed rules, which could significantly reshape Thailand's digital asset landscape by empowering exchanges to create native utility tokens for blockchain transactions.

North Korean Hackers Target Decentralized Crypto Protocols, Exploiting Human Vulnerabilities

North Korean hacking groups have intensified their focus on the cryptocurrency sector, shifting from technical exploits to human vulnerabilities in decentralized protocols. The 2022 Ronin bridge attack, which netted $625 million, was merely a precursor to more sophisticated campaigns.

In 2025 alone, these state-affiliated actors have attempted to steal $1.5 billion from Bybit through credential-harvesting schemes, while simultaneously targeting MetaMask and Trust Wallet users with malware. Their tactics now include infiltrating exchanges via fake job applicants and establishing U.S. shell companies to compromise developers.

The security gap lies not in smart contract code, but in operational practices. Decentralized teams frequently neglect basic safeguards: poor key management, unvetted code contributions, and governance conducted through informal Discord polls. While the industry touts censorship resistance, these human factors create soft targets for nation-state adversaries.

Oak Security's audit data reveals a troubling pattern—teams invest heavily in smart contract reviews while overlooking fundamental security hygiene. The paradox of decentralized finance grows clearer: systems designed to eliminate trust requirements remain vulnerable to the oldest exploit of all—human error.