Thailand’s central bank launches a full crackdown on the “gray economy” in Q4, stablecoins included: deposits starting from 5 million Thai baht must prove the source of funds

Thailand’s central bank (BOT) cracks down comprehensively on the “gray economy” in Q4. Personal cash deposits of more than 5 million Thai baht must prove the source of funds. Commercial banks simultaneously expand compliance responsibilities across cash networks, large currency exchanges, gold and stablecoin transactions involving suspicions. BOT and the Thailand Stock Exchange conduct joint audits, with audit priorities focused on USDT.
(Background recap: Thailand plans to allow next year’s joint / private fund managers to invest in crypto assets)
(Additional context: Is the era of companies settling in stablecoins here? CITIC, Taiwan Mobile, and O-Bank all take the stage)

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• Two-way blocking of deposits and withdrawals
• Gold trading: reduced from 4,000 kilograms per month to 700 kilograms
• Stablecoin audits: BOT teams up with the SEC to lock onto USDT
• Taiwan context: leaving room for anti-money-laundering

Thailand’s central bank (BOT) Deputy Governor Ratanakorn Vitai announced on July 13 that Thailand in Q4 will launch a comprehensive crackdown on the “gray economy,” requiring individuals to provide formal verification of the source of funds when depositing cash exceeding 5 million Thai baht (about $150k). The measures also expand commercial banks’ compliance responsibilities regarding cash networks, large currency exchanges, gold trading, and suspicious stablecoin transactions.

Two-way blocking of deposits and withdrawals

This round of new rules is an extension of the April capital restriction measures. In April, Thailand required anyone withdrawing cash above 5 million Thai baht to provide banks with commercial justifications, proving why they do not use electronic transfers or checks. The central bank confirmed that after the measure was implemented, the volume of high-value cash withdrawals nationwide fell by 35%. The new guidance to be rolled out will add, on the deposit side, a symmetric requirement for declarations of the source of funds.

In an advanced economic journalist training lecture in 2026, BOT Deputy Governor Ratanakorn Vitai explicitly stated that these measures “are not short-term patching; they require sustained deployment of multiple parallel strategies.” In addition, the central bank is assessing tracking mechanisms for exchanging large-denomination banknotes, targeting those who exchange large quantities of 1,000 Thai baht notes into 100 or 500 Thai baht denominations without clear commercial reasons.

Gold trading: reduced from 4,000 kilograms per month to 700 kilograms

The central bank also tightened the reporting framework for gold trading. Regulators noted a recurring pattern: buyers purchase large quantities of gold in the morning via digital applications, then immediately withdraw the same day at physical gold stores. Now lending institutions are legally required to flag these structural anomalies and report them to the Anti-Money Laundering Office (AMLO).

The intervention has been immediate—physical gold withdrawal volumes dropped sharply from an average of 4,000 kilograms per month to about 700 kilograms, indicating that irregular trading channels are being effectively compressed.

Stablecoin audits: BOT teams up with the SEC to lock onto USDT

On the institutional banking side, the Thailand central bank has instructed all commercial banks to strengthen customer identity verification (KYC) screening at account opening, aiming to directly target shell accounts linked to online gambling networks. The central bank confirmed that thousands of high-risk retail accounts associated with digital gambling groups have been systematically frozen.

In addition, BOT and the Thailand Securities and Exchange Commission (SEC) are jointly conducting audits, with a focus on Tether (USDT), to identify and block illegal flows of funds.

Taiwan context: leaving room for anti-money-laundering

Thailand’s “two-way blocking” strategy has direct reference value for the Taiwan market. In Taiwan, the reporting threshold for large cash deposits is 200k New Taiwan dollars (about $8,000), but it mainly relies on banks proactively reporting rather than requiring customers to prove themselves. Thailand’s approach is to require customers to complete a source-of-funds declaration at the time of deposit—more proactive than Taiwan’s passive reporting mechanism. If Taiwan’s central bank follows similar measures in the future, requiring proof of source at the first deposit will have the most direct impact on freelancers and owners of small and medium-sized enterprises.