Thai SEC: Banning Of Major Cryptocurrencies In ICOs

Currently, in Thai, the SEC has basically banned three of the key digital currency from being used in Initial coin offerings (ICO).

The banned virtual currencies are;

  • Bitcoin Cash
  • LiteCoin and;
  • Ethereum Classic

Also, Thai’s Securities and Exchange Commissions made this decision to eliminate the key digital currencies.

They were removed from a list of Cryptocurrencies that were to be allowed for usage in the investment of ICOs. And now, they cannot be used in selling pairs for Cryptocurrency asset trading.

You should note that these Cryptocurrencies will not be allowed for use anymore in Thai ICOs. However, judging from the Bangkok publication, the removal will not have any effect on businesses and investors engaged in virtual assets.

This is because there is currently no licensed ICO and traditional digital exchange making use of LiteCoin, Ethereum Classic, and Bitcoin cash as their base trading pairs.

The Cryptocurrencies On The List

As it stands, after the other Cryptocurrencies were deleted, the list now contains only;

  • Ethereum
  • Ripple and;
  • Bitcoin

These digital currencies are to be used when investing in initial coin offering. They are also allowed to be used as base trading pairs for certified Cryptocurrency asset exchanges.

Subsequently, Thai SEC has also made statements that these digital currencies that were not eliminated still do not have any status as a legal tender for payment transactions.

Originally, a list containing seven accepted digital currencies was published in July 2018. The selecting criteria for the Cryptocurrencies were strictly based on diverse factors.

Among the factors was the criteria pertaining to how many Cryptocurrencies the assets can be traded with directly. Some other criteria include;

  • The technical build of the coin’s decentralized system
  • Market liquidity of the coin, and so on

The coins that were cut out of the list at the end of the day met with such treatments based on the Cryptocurrency advancement assessment that was linked to news and some other vital factors.

Thai Government’s Stand

The attitude of the Thai Government towards Cryptocurrencies in time past was that of a mixed feeling.

The actions they have taken now in the Cryptocurrency sphere can also be debated upon to be a move to protect the Cryptocurrency industry. However, the attitude of the government can still be said to be mixed.

Meanwhile, in the middle of February, a case was reported by Finance Magnates that Thailand’s Central bank had asked that every monetary organization in the country should stop engaging in businesses that were linked to Cryptocurrencies.

They also requested that financial institutions like banks should out-rightly deny their customers the right to purchase Cryptocurrencies with the use of credit cards.

To Wrap It Up

Efforts have been used in stopping the citizen’s engagement with digital currencies. However, Thailand is still ranked as the second highest country in which its citizens still own virtual currencies.

According to Finance Magnates, a universal survey has shown that roughly 9.9 percent of internet users in Thailand own Cryptocurrencies.

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