Asia Wealth Securities (AWS) aims to focus on investment banking and digital asset businesses this year, with a plan to apply for a licence as an initial coin offering (ICO) portal during this year's first half.
In addition to its goal to list on the Stock Exchange of Thailand in 2022 and applications for bond trading and financial advisory licences, AWS is negotiating with a renowned cryptocurrency exchange to establish a partnership to operate in Thailand, said chief executive Kobkiat Boontherawara.
AWS recently appointed a new management team led by Mr Kobkiat, as the previous management moved to join Apple Wealth Securities. Apple Wealth recently acquired three securities branches from AWS.
Mr Kobkiat has been working in the securities industry for around 20 years, with experience at AEC Securities and Yuanta Securities.
He said AWS will be the first securities firm to apply for an ICO portal licence to help Thai businessmen raise funds from security token offerings (STOs).
STOs are securities tokenised on a blockchain ledger that are backed by assets, profit, or revenue of a company.
Under the royal decree, there are four types of secondary business intermediaries -- digital exchanges, brokerage firms, dealers and token portal service providers, which are also known as ICO portals.
Exchanges, brokers and dealers are required to apply for licences from the Finance Ministry, while ICO portals must be approved by the Securities and Exchange Commission.
ICO portals help screen ICOs, conduct due diligence, prove smart contract source codes and verify the know-your-customer process.
Chief of investment banking Rattaroj Phanitjuti said operating an ICO portal business is not difficult, but the company will have to screen for legitimate projects and prepare IT security programs and human resources for monitoring.
The key to selecting a new partner for a cryptocurrency exchange is finding one equipped with new technology that is engaged in cryptocurrency trading, he said.
AWS is also in discussions with a local company operating a digital asset business, said Mr Rattaroj.
"We believe digital assets are the future trend of trading, through which all securities with underlying assets can be tokenised into digital assets and trade on digital exchanges," he said.
