Thailand currency

3 Thai regulators team up to issue digital currency payment guidelines

Three Thai regulators have teamed up to offer more clarity on the use of digital currencies for payments in the country. Led by the Bank of Thailand, government agencies said digital currencies are too volatile and prone to cyber theft to be used as payment methods and pose a risk to the country’s financial system.

The central bank issued the joint statement on digital currency payments with the Securities and Exchange Commission and the Ministry of Finance. The three said that after their joint review, they found it necessary to “regulate the use of digital assets as a means of payment for goods and services, in order to avoid potential impacts on the financial stability and economic system of the country”.

Thailand’s digital currency industry has grown aggressively over the past few years, even though the central bank has warned the public against them. The three agencies acknowledged this growth, saying adoption goes beyond investing as more people use digital currencies to make payments. This was Satoshi Nakamoto’s goal when he created Bitcoin, describing it in the white paper as “peer-to-peer electronic money”.

According to the three, the use of digital currencies as payment methods “could potentially impact financial stability and the overall economic system.” It could also “present additional risks to consumers and businesses due to price volatility, cyber theft, leakage of personal data or money laundering, etc,” they said.

While the SEC and the Treasury Department are only getting involved in the digital currency payments debate, the central bank has made it clear for years that it opposes it. In December, Senior Director Sakkapop Panyanukul said companies accepting BTC for payments “will impact the central bank’s ability to oversee the economy.”

The three regulators revealed that they would make an effort to limit digital assets for payments.

“As the current payment system in Thailand is already very efficient, the use of digital assets to pay for goods and services would not bring much benefit to consumers and businesses,” the SEC said in a statement. additional.

The securities watchdog has asked for public comment until February 8 before implementing guidelines that will limit digital asset payouts.

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