Thailand strengthens regulations on crypto companies’ advertising, joining Singapore and other nations in an effort to safeguard retail investors following a $2 trillion selloff in the markets for digital assets.
In a statement sent via email, the Thai SEC stated that ads for digital tokens must clearly identify the risks associated with crypto investment. The authorities have previously made hints about adding further protections for small investors. Thai crypto businesses actively promote their products on social media, and there are billboards promoting the sector all around the city of Bangkok.
A recent global decline in the value of cryptocurrencies has negatively impacted the operations of numerous crypto businesses in Thailand. Thailand’s government has also fined numerous crypto businesses.
A local operator Bitkub executive named Samret Wajanasathian was fined 8.5 million baht (US $2,31,670.75) this week for insider trading. Samret has stated that he will appeal the decision. Due to regulatory worries, SCBX Pcl, Thailand’s fourth-largest lender by assets, cancelled a $500 million acquisition of Bitkub last month.
On August 31, rival operator Zipmex, which focuses on Asia, was fined 1.92 million baht for stopping withdrawals in late July. In a Facebook post, the business Zipmex stated that it was “closely evaluating the details of the punishment with our legal advice.”