• Thailand prohibits the use of cryptocurrency as a form of payment

  • The Thai SEC clarified that it is only prohibiting the use of cryptocurrency for payments, not crypto trading or digital assets.

    Thailand’s Security and Exchange Commission announced on Wednesday that the usage of cryptocurrency as a form of payment will be prohibited from April 1.

    Money laundering concerns and the central bank’s unwillingness to intervene and assist were listed as reasons for the ban by the regulator.

    The Thai SEC clarified that this is not a restriction on crypto trading or digital assets, which have grown in popularity among Thais in recent years, but rather a prohibition on the use of crypto for payments.

    Thailand’s government unveiled a plan in January to regulate digital asset payments in the country.

    The Thai Securities and Exchange Commission (SEC) recently stated that digital assets do not boost the efficiency of the payments system due to their volatility and hefty transaction costs.

    Many domestic property developers looked to cryptocurrency as a method to rekindle interest in the country’s primarily foreign-oriented condominium market last year.

    Early in March, Thai officials declared that crypto trades on government-approved exchanges will be exempt from a 7% value-added tax (VAT) until 2023.

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