Green digital tokens: A new alternative on the path to sustainability.

In recent years, the ESG (Environmental, Social, Governance) trend and the concept of "sustainability" have become key issues in the business and financial sectors. This includes aspects such as reducing greenhouse gas emissions, clean energy, electric vehicles, and improving people's quality of life. At the same time, blockchain technology and digital assets are playing an increasingly important role in finance and investment, leading to new forms of financial innovation.

One of the new financial tools for sustainability is: Sustainability digital tokens (Sustainability-themed Token) This is a digital token issued for sale to raise funds for sustainability projects, both environmental and social. It is considered an important tool in supporting the Green Economy to develop the country's economy and sustainability in a responsible manner.

The SEC (Securities and Exchange Commission) has issued regulations regarding the issuance and offering of sustainability digital tokens, divided into two main groups: The first group is... GSST which stands for Green, SSocial and Ssustainability TThis group of tokens are used to raise funds directly for sustainability projects. It starts with Green Token, a digital token for environmental conservation.

Fundraising supports environmental projects such as clean energy, carbon reduction, or reforestation. Social Tokens are digital tokens used to develop society and support projects that create a positive social impact, such as education, public health, or access to economic opportunities. Sustainability Tokens are a combination of Green and Social Tokens, encompassing both environmental and social development projects simultaneously.

The second group is: SLT หรือ Sustainability-Linked TOkens are digital tokens designed to promote sustainability. These tokens are more complex because investor returns are linked to the sustainability achievements of the digital token issuer, its subsidiaries, or projects. Simply put, if the company meets its defined sustainability goals, such as reducing greenhouse gas emissions or carbon footprint, investors may receive significant returns. However, if the company fails to meet these targets, the returns will be affected according to the token's terms and conditions.

This concept is similar to sustainability bonds in the traditional investment world, but is enhanced by blockchain technology, which allows for greater transparency and verification of data.

To ensure investors have sufficient information to make informed investment decisions, the issuance and offering of sustainability digital tokens must comply with specific regulations. Digital token issuers must offer their tokens through ICO Portals approved by the SEC (Securities and Exchange Commission of Thailand), which acts as a screening and verification body to ensure the credibility of the project and the digital token issuer in accordance with the regulations.

Furthermore, in the offering of sustainability digital tokens, an independent external evaluator with expertise in sustainability appropriate to the project must be present. This expert will provide an opinion or certify that the project's fundraising information meets internationally accepted sustainability standards. This prevents misunderstandings, particularly greenwashing, which refers to creating an image of social and environmental responsibility when the issuer of the digital token or project may not actually reduce its environmental impact. Therefore, this process is considered more stringent than for other types of tokens, ensuring investors invest in products that truly promote sustainability.

Prior to any digital token offering, the issuer must transparently disclose project information and impact reports through the prospectus. This includes details such as the purpose of the funds, significant risks, sustainability benchmarks used, and sustainability targets, etc., to ensure investors have sufficient information to make informed investment decisions.

Furthermore, after the initial public offering (IPO), the digital token issuer remains obligated to continuously disclose information to investors regarding project progress. This includes project progress reports and opinions or certifications on the project's impact report from independent external evaluators, conducted annually, as well as reports of key events, etc. This information is beneficial for investors in continuously monitoring project progress.

However, as digital assets carry high risks, investors should carefully study the information and risks outlined in the prospectus and invest appropriately according to their risk tolerance. Information about digital tokens can be accessed through various channels, including the issuers' pages, ICO portals, digital token exchanges, and the SEC (Securities and Exchange Commission of Thailand) website.

Recently, following the establishment of regulations by the SEC (Securities and Exchange Commission) in 2567, Thailand has begun to see clearer progress. Investment products related to sustainability digital tokens are now available and investable under the SEC's supervision. This marks a significant step for the Thai digital asset market, concretely connecting the world of digital assets with sustainable investments.

The key point is that this could open up opportunities for more funding to flow into projects that create a positive impact on the economy, society, and the environment in the future. Ultimately, "investment" in the new era may not just be about generating profit, but also about building a sustainable future.