BOT Thailand warns against using cryptocurrencies for payments

The Central Bank of Thailand (BOT) has warned crypto holders who use their digital assets as a medium of exchange that they may need to take drastic control measures if these practices spread.

In one to explain On Thursday, the central bank said anyone involved in trading digital assets for goods and services as a sender or recipient could be exposed to risks such as money laundering, theft and price volatility. The BOT reiterated its stance that cryptocurrencies like Bitcoin and Ether are not legal tender in the country and warned of the consequences coming from regulators:

“If the use of digital assets as a means of payment for goods and services becomes widespread, the BOT will coordinate with the Securities and Exchange Commission (SEC) and related agencies to take the necessary steps to ensure they are not at greater risk for the public or the economic and financial system of the country. “

The BOT added that it is still in the process of developing a central bank digital currency (CBDC) and setting guidelines for domestic fiat-backed stablecoins. A proposed roadmap for CBDCs released in April states that preliminary testing processes are expected to begin in Q2 2022.

With the exception of CBDCs and certain stablecoins, Thai regulators have issued several guidelines for crypto traders and companies.

Earlier this year, the Thai SEC proposed a minimum annual income requirement of 1 million baht To trade tokens.

Meanwhile, crypto trading volumes on the domestic exchanges seem to continue to grow. Data released in April by the Thai SEC shows that total trading volume on the exchanges rose around 600% from November to February and may have topped $ 4 billion at the time of publication.

Annie

According to Cointelegraph

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