Thai Securities and Exchange Commission has suggested banning crypto lending and crypto-staking activities. The regulator is seeking public comments on the proposal, noting that the purpose of this prohibition is “to provide greater protection to investors and reduce associated risks.”
Thailand seeks public comments on two Crypto Regulatory proposals
Thai Securities and Exchange Commission announced Thursday it was seeking public comment on two proposed regulations for crypto assets. Both proposals will be closed for comment until October 17.
First, a proposal is to ban crypto lending and crypto-staking by businesses. The securities watchdog said the purpose of this prohibition is “to provide greater protection to investors and reduce associated risks.”
The regulator detailed that under this proposal, businesses cannot accept “deposits of digital assets from the customers and lend, invest, stake or employ such digital assets.”
Crypto firms also cannot accept “deposit of digital assets from the customers and pay the customers regular interests or other types of benefits from their own source of fund.” Moreover, they are prohibited from “Providing support to third parties that undertake crypto saving and lending services, including marketing.”
Second, the proposal is to require digital asset companies to make public risk information to users in order to allow them access to their platforms. For digital assets, crypto firms will also need to require minimum purchases of 5,000 Thai baht (135)
Thailand’s crypto regulation is currently under review. In August, the Thai finance minister revealed plans to amend the country’s law on digital assets to tighten the oversight of the crypto sector, particularly trading platforms. The Thai SEC had approved new crypto advertising requirements earlier in the month.
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