Thailand SEC To Unveil Stricter Rules for Crypto Asset Managers

• Thai asset regulator is ready to enforce strict regulations on digital assets.
• Thai SEC has set up a committee of relevant agencies to suggest new measures.
• China is also creating new conditions for approved virtual asset exchanges.

According to a local media report, Thailand’s Securities and Exchange Commission (SEC) is designing a new process to improve digital asset governance, including more stringent regulations to increase investor protection.

The asset regulator highlighted the recurrent failures of significant virtual asset managers as a primary concern prompting the new move. Consequently, the Thai SEC has set up a working committee consisting of relevant government agencies and private sector representatives to study and suggest ways to improve digital asset laws.

In September, the Thai SEC initiated a public hearing on banning deposit-taking and lending services following the collapse of the Thailand crypto exchange Zipmex. The proposed prohibition would make it illegal for operators to accept crypto deposits on the promise of increased repayment, even if those funds originate from marketing budgets rather than the assets’ rising worth.

Additionally, the Thai SEC accused the bankrupt Zipmex and its co-founder Akalarp Yimwilai of not complying with the country’s Digital Assets Act by providing information on digital wallets and crypto transactions.

Furthermore, the Chinese government is also drafting new regulatory requirements for licensed virtual asset exchanges and will launch public consultations. China’s Securities Regulatory Commission (SRC) noted that previous regulatory standards failed to prevent the recurrent episode of bankruptcy in the crypto industry and anti-money laundering cases.

Meanwhile, according to a reputed Honkong reporter:

“Hong Kong has adopted comprehensive supervision in response to the operation of relevant exchanges similar to securities brokers, requiring the business to properly separate client assets in a trusted manner and regularly submit audited accounts and financial information.”

Notably, other countries that have made statements regarding new guidelines for digital asset regulations include the United States, the UK, and Singapore.