While many countries are looking into total cryptocurrency prohibition and making crypto miners move or stop operations, Thailand is working on regulating the use of crypto for payments. Thailand financial sector regulators plan to soon release guidelines that will explain how cryptocurrencies can be used in payment systems.
Customer Protection Must Remain in the Focus
The Bank of Thailand, the Exchange and Securities Commission, and the Ministry of Finance all believe that using cryptocurrencies can become a threat to the country’s financial sector.
Still, the agencies acknowledged using digital assets as a payment method, but regulators should still focus on protecting customers.
What’s more, the regulators also noted that they had reviewed the benefits and drawbacks of digital assets and found that cryptocurrencies are often related to cybercrime and issues with data privacy and volatility.
The agencies will work on regulating the selected cryptocurrencies while factoring in the importance of financial innovations. In addition, agencies will promote the development of digital asset businesses.
Furthermore, Thailand’s Ministry of Finance also planned to implement a 15% capital gains tax on crypto trading profits. This decision was likely based on the 2021 SEC report. This paper revealed that digital currency transactions hit 205 million baht (about $6 million).