Thailand Securities and Exchange Commission (SEC) announced the issue of new regulations for suppliers of digital asset services on July 3.
There are two primary rules in the new regulations that are intended to safeguard investors.
The initial is a need that investors be informed clearly of the dangers related to crypto assets. The disclosure of risk warnings for trading cryptocurrency assets will be mandatory starting on July 31 by providers of digital asset services. Investors were specifically warned that cryptocurrency assets were high-risk.
The second category is to safeguard investors from the dangers associated with loan services. From August 30 onward, the Securities and Exchange Commission of Thailand will forbid providers of digital asset services from providing borrowing and staking services. This will make it illegal for crypto-asset marketplaces to offer any returns on the crypto assets that users deposit.
It was revealed in January that discussions about the creation of a “virtual bank” had started at the Bank of Thailand. The Bank of Thailand intends to give three different virtual bank licenses in 2024, allowing them to begin operations in 2025.
In March of this year, it has been documented that the Thai government would exempt enterprises that provide investment tokens in the nation from the tax on corporate income and value-added tax.
On July 3, the Monetary Authority of Singapore (MAS) also published a fresh report on cryptocurrency rules.
The document specifies the governing focus and puts a number of consumer protection criteria on Digital Payment Token (DPT) service providers, even though it does not formally declare the rule.
Source: Flickr
In particular, MAS intends to pursue proposals that would forbid DPT service providers from assisting individual clients with DPT loan and staking.
In addition, MAS made recommendations in a different consultation document about DPT service providers’ obligations to combat unfair business practices. The booklet also lists legal guidelines and fraud categories.
