To bolster law enforcement’s arsenal against cybercrime, Thai authorities have opted to crack down on unauthorized cryptocurrency platforms, unveiling plans to tighten regulations within the digital asset sphere.
Following deliberations by the Technology Crime Prevention and Suppression Committee, Thailand’s Securities and Exchange Commission (SEC) received directives to furnish the Ministry of Digital Economy and Society with intel regarding unlicensed digital asset service providers.
This move aims to curtail access to platforms deemed non-compliant with regulatory standards.
The SEC, having assessed the potential ramifications on users has outlined a grace period to allow account holders ample time to liquidate their assets before platform access is curtailed.
“Therefore, the SEC requests users of the said platform to quickly withdraw their assets from the platform,” emphasized the announcement.
Notably, the Thai SEC referenced similar regulatory measures implemented by governments such as India and the Philippines in thwarting unauthorized platforms.
This proactive stance reflects Thailand’s ongoing efforts to strike a delicate balance between fostering the cryptocurrency ecosystem and combating fraudulent activities.
On one front, Thailand has opened doors for institutional investors and high-net-worth individuals to venture into crypto exchange-traded funds (ETFs), while also granting retail investors unrestricted access to digital tokens backed by tangible assets like real estate or infrastructure.
Concurrently, stringent measures have been enacted, mandating custodians to devise contingency plans to mitigate potential risks.
Moreover, in a strategic manoeuvre aimed at enhancing Thailand’s competitive edge in the digital finance arena, the cabinet greenlit a tax exemption initiative on March 13th for crypto-generated earnings.
This tax relief, tailored specifically for investment tokens, exempts profits derived from such assets from personal income tax calculations, providing investors with a significant fiscal advantage and positioning Thailand favourably in the global digital finance landscape.
