Thailand seeks to tighten its regulation on crypto companies
Reportedly Thailand is planning to increase its reach and supervision on the crypto industry.
Thailand is a crypto & blockchain-friendly region for the crypto world. In particular, few leading financial institutions showed significant eagerness toward this innovative industry. To promote crypto & blockchain technology adoption, Thailand reduced its crypto tax from 15% to 7%.
On 9 August, Bloomberg reported that Thailand is planning to strictly supervise platforms and exchanges that offer trading in cryptocurrencies and other virtual assets.
Reportedly Thai Finance Minister Arkhom Termpittayapaisith said that such efforts will give more power & authority to the Central Bank as the South-East Asian nation is moving toward regulation of digital assets.
At present, the Thai Securities & Exchange Commission (SEC) holds the full authority to supervise the crypto industry. Thai SEC is playing almost the same role as the United States SEC agency.
The such regulatory amendment came just a few weeks after the case of Zipmex crypto exchange, a crypto trading platform that temporarily suspended crypto fund withdrawal from the platform. Reportedly, many people started to criticize the Thai regulatory bodies, for their failures to ensure the safety of the crypto investors.
However, we can see critics against government agencies but still we can see huge efforts by the government of Thailand toward regulatory efforts. Last week Thailand approved 4 regulatory agencies, which will issue licenses for crypto companies.
Earlier, In March of this year, the Thai government took an initiative toward increasing the interest of the citizens. For the same, Thai reduced tax to 7%, which was more than double. A new crypto tax rule was introduced till 2023 but if the government will see some significant success through this effort then it may extend the 7% crypto tax provision up to 2032.
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