In Thailand, stricter regulations restricting cryptocurrency advertising went into force on Thursday, according to a formal notice from the nation’s securities commission. After observing that many advertisements lacked cautionary statements about the dangers of cryptocurrencies and that some only displayed “positive information,” the Thai Securities and Exchange Commission (SEC) amended the rules in place.
The new limits include a requirement to provide clear risk warnings about investing in cryptocurrency and forbid the use of incorrect or inflated information about crypto firms, such as exaggerated user statistics.
Recent reports also suggested that Thailand is preparing to amend its law on digital assets in order to tighten control of the cryptocurrency business and grant the Thai central bank the necessary authority.
As the current legal framework for digital assets “is not clear enough to regulate the industry,” the Thai government is expecting this judgement. Stronger crypto regulations, according to the official, are intended to provide investors with additional protection rather than stifle innovation or technology.
The significant volatility of the markets for digital assets, according to the officials, has made clear the urgent need for greater supervision. Their main focus will be on enhancing protection for small investors, some of whom put the majority of their capital in these assets.
By the end of 2022, the central bank of the nation intends to test the pilot version of its central bank digital currency (CBDC)..It was noted in a statement by the central bank that it “deems it necessary to extend the scope of retail CBDC development to a pilot phase.”
It maintained that it had no plans to launch a retail digital currency. The use of crypto as a form of payment has been outlawed beginning on April 1, 2022, as stated earlier by the Bank of Thailand and the Thai Securities and Exchange Commission.