January 27, 2022
Thailand first came up with crypto taxation laws in 2018 is now planning to regulate the use of digital assets as a means of payment for goods and services. The Southeast nation will provide more guidelines on tax soon, Reuters quoted the Finance Minister Arkhom Termpittayapaisith as saying.
What does this move mean?
- A joint statement issued by the Bank of Thailand and the Securities and Exchange Commission (SEC) of Thailand on Thursday said the government will examine exercising their power to control the use of crypto for payments, and will issue new guidelines for digital assets.
- Crypto firms have expanded their business to offer payment services using crypto and have solicited payments business by facilitating the acceptance of crypto, the statement said.
- These efforts might extend the usage of crypto as a means of payment and use it as an investment, which could negatively affect financial stability, consumer privacy, and cybercrime.
- The paper proposes to ban merchants from advertising and facilitating digital assets as means of payment and prohibits exchanges and brokerages from providing systems that help merchants receive payments in crypto, such as QR codes and e-wallets.
- Furthermore, transferring assets between accounts will have a limit; for example, Thai baht made from selling crypto assets can only be transferred to the seller’s account.
- Currently, the Thai SEC is seeking comments on a consultation paper on digital assets until Feb. 8.
About the author
Priyanka Shetty is a full-time communication professional and a part-time crypto writer based in Bengaluru. She can write about crypto but not so much about herself. She says she is just a girl who wants to meet your dog.