The Securities and Exchange Commission of Thailand has published guidelines stating that entrepreneurs engaged in cryptocurrency trading must comply with rules that prohibit the risks associated with cryptocurrencies and disclose risk warnings in order to ensure compliance and sufficient knowledge of the services provided by digital asset operators. These guidelines were issued on July 3, 2023.
The SEC In Thailand Has Approved a New Law That Bans Crypto Staking and Lending Activities
The rules that came into effect on July 31 aim to protect investors. Additionally, a measure was implemented on August 30 that prohibits deposit staking and lending activities.
On September 1, 2022, during the 12/2022 meeting, the SEC approved the mandatory disclosure of risks related to cryptocurrency trading by cryptocurrency business operators. Furthermore, a decision was made to ban digital asset operators from providing services or supporting deposit staking and lending services.
On December 1, 2022, and May 11, 2023, during the 16/2022 and 9/2023 meetings, respectively, the SEC in Thailand decided to enhance the rules for disclosing risks associated with cryptocurrency trading in a more appropriate manner. Therefore, the SEC in Thailand continues to write regulations regarding these two matters.
It is prohibited for digital asset company operators to provide services such as accepting digital asset deposits, paying customer returns, and borrowing or investing digital assets, along with the specific restrictions mentioned in the notification. Additionally, supporting deposit staking and lending services is also forbidden.
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