Concerned About Investment Protection, Thai SEC Aims To Tighten Cryptocurrency Rule

Thailand has been among the list of countries that have welcomed cryptocurrencies into their lands. The country not only allowed cryptocurrencies to expand on its soil but also explored the industry itself.

Back in 2021, the country launched a crypto-based tourism program where tourists could visit Thailand and pay in cryptocurrencies.

This was a huge step taken by any country in regard to the adoption of cryptocurrencies. Somewhere,

Thailand’s approach towards cryptocurrencies inspired the President of El Salvador who later got Bitcoin recognized as a legal tender in the country.

Thailand is Tightening Crypto Rules

While the country was quick to realize the potential of cryptocurrencies, it has also proven to be quick in understanding its harms.

Therefore, the country started to tighten its control over cryptocurrencies towards the end of 2021. It started to impose stricter regulations on the crypto firms operating in the country.

The regulatory authorities in Thailand even banned and canceled licenses of several crypto exchanges and trading firms operating from international lands.

The country has been very concerned about the protection of its locals and their investments going into the crypto industry.

Thailand is even more concerned

Due to the recent downtrends and crashes in the cryptocurrency industry, the regulatory authorities in Thailand have also been alerted.

They now want to protect the interests and investments of their investors more than ever. Therefore, the regulatory authorities have decided that they will grow stricter over cryptocurrencies.

Thailand’s securities regulator is now determined to make changes to the crypto regulations in the country and tighten them even more.

The main goal of the regulator is not to make the existence of the crypto industry difficult in the country but to protect the local investors.

Thai SEC is Going All-In Implementing Stricter Regulations

On December 13, a report was published by a local news agency claiming that the Thai SEC is determined to introduce stricter crypto regulations.

The regulator will also monitor the entire implementation process so the new regulations are being practiced with complete compliance.

According to local news outlets, the regulator has closely observed the major crashes in the cryptocurrency industry.

The incidents such as the closures/crashes of the Celsius Network, the TerraUSD, Three Arrows Capital, and the FTX exchange. They were also very concerned about Zipmex, a local cryptocurrency exchange.

Crypto Industry is Misleading and Vulnerable

While talking about the crashes in the cryptocurrency industry, the regulator talked about the misleading content and information being spread in the crypto industry.

The regulator shared its concern about the influencers and others who have been promoting cryptocurrencies taking huge fees.

However, such people do not make investments in cryptocurrencies on their own. Instead, they encourage the common investors to take part in crypto investments that are highly vulnerable.

As a result, people end up becoming victims of crashes and downfalls such as the FTX exchange and other similar incidents.

Control over Crypto Advertisements

The Thai SEC has stated that there must be very strict control and monitoring involved when it comes to cryptocurrency advertisements.

The advertisements in the cryptocurrency industry have proven to be very misleading for people. They tend to mislead people into believing that all their investments would be profits and the crypto sector is only going up.

They never make them aware of the crypto winter or talk about the risks involved while interacting with cryptocurrencies.

There is a very high expectation that the Thai regulator may focus on streamlining and tightening the process of advertisements in the country.

The watchdog also talked about the cybersecurity and information safety concerns within the cryptocurrency industry.

Thailand is among the countries where crypto regulations do exist. Therefore, the country will not find it difficult to make changes to the already existing regulations and enforce the newer and tighter ones.

All trademarks, logos, and images displayed on this site belong to their respective owners and have been utilized under the Fair Use Act. The materials on this site should not be interpreted as financial advice. When we incorporate content from other sites, we ensure each author receives proper attribution by providing a link to the original content. This site might maintain financial affiliations with a selection of the brands and firms mentioned herein. As a result, we may receive compensation if our readers opt to click on these links within our content and subsequently register for the products or services on offer. However, we neither represent nor endorse these services, brands, or companies. Therefore, any disputes that may arise with the mentioned brands or companies need to be directly addressed with the respective parties involved. We urge our readers to exercise their own judgement when clicking on links within our content and ultimately signing up for any products or services. The responsibility lies solely with them. Please read our full disclaimer and terms of use policy here.

Leave a Reply

Your email address will not be published. Required fields are marked *