Thailand Cryptocurrency regulations are expected to be put into force already this April, according to the Thai Finance Minister Apisak Tantivorawong. Which area will be covered in the upcoming regulations?
30 March, AtoZForex – As per the official draft version of a royal decree in Thailand, the ICO issuers will only have 90 days to inform the key Thailand regulatory body, the Securities and Exchange Commission (SEC) about their intentions.
Thailand Cryptocurrency Regulations Will Be Introduced in April
The draft also stated that the digital asset trades will be subject to the capital gains tax of 15% and a seven percent value-added tax. This is regardless of the trade’s profitability.
Just some days ago, the secretary general for Thailand’s SEC, Rapee Sucharitakul, has stated that the commission will soon introduce rules for governing cryptocurrencies and Initial Coin Offerings (ICOs) in the attempt to protect investors.
He has stated:
“This is a very specialized market and it’s not for ordinary people.”
Even though the regulations did not see the royal approval from King Maha Vajiralongkorn, Mr. Sucharitakul stated that they will take effect in about three weeks. The rules are also expected to cover disclosure and warning requirements along with information in regards to the tax treatment.
The local media reports stated that the decree that is approved by the Thai Cabinet on Tuesday, outlines that ICO issuers will only have 90 days before the law comes to life. According to the Finance Minister Apisak Tantivorawong, this time-frame was already prolonged from 60 days after complaints from “market participants.”
Thai Government Pays More attention to crypto
In addition, the decree would stabilize the definition of “digital assets” to include only cryptocurrency and digital coins. Moreover, the document will clarify the tax treatment of digital asset trades. Yet, it is still unknown what can be expected from the Thai investors.
While firms work on the development of Blockchain-based services and digital assets in Thailand, the country’s regulators pay more attention to the industry. Back in February, the Bank of Thailand has ordered financial institutions to avoid cryptocurrency investments. The bank has also ordered the firms to not facilitate cryptocurrency trading. The authorities have banned cryptocurrency purchases with credit cards, as well.
Think we missed something? Let us know in the comments section below.