Thai SEC Plans to Relax ICO Regulations
The Thai Securities and Exchange Commission (SEC) is allegedly planning to alleviate the nation’s regulation for initial coin offerings. The regulator is running a public hearing to relax rules on pre-sales and personal token sales. The commission has also unveiled plans to protect against the manipulation of nominal earnings.
The Thai SEC made a statement concerning the nation’s regulation for initial coin offerings on Thursday. According to the Bangkok Post:
The [Thai] Securities and Exchange Commission (SEC) is conducting a public hearing to relax regulations on pre-sales and private sales of initial coin offerings (ICOs), aiming to reduce impediments for ICO issuers raising funds.
The present regulations apply to each of token sales such as pre-ICO and personal sales, the information outlet explained. Noting the change will decrease burdens for token providers, the book continued:”The present regulations are obstacles for ICO fundraising in training, therefore the SEC intends to unwind certain rules for electronic investment earnings made through private placement to particular investor groups. The aim is to allow personal digital classifieds sales to proceed without needing to publish registration statements along with also a draft prospectus.”
Thailand enacted the imperial decree on electronic assets on May 14, placing the Thai SEC accountable for regulating all actions regarding cryptocurrencies and ICOs. Presently, six exchanges and also a single trader have obtained temporary licenses but no ICO portal site was certified. SEC secretary-general Rapee Sucharitakul formerly said an ICO portal site was supposed to become licensed in November. However, after analysis, the regulator allegedly said that the portal site won’t be approved this year because of some security problems.
She highlighted that ICO financing”has to be accomplished through an ICO portal approved by the SEC to assist display ICOs and boost transparency.” Opinions about the regulatory framework for ICOs could be filed to the SEC before Jan. 22 next year.
Senanarong further mentioned that there’s not any investment limitation for institutional investors, venture capitals, or high net-worth investors. But, there’s a limitation for retail investors. The Bangkok Post added , over a 12-month span, every token sale is going to probably be limited to 50 investors, although the investment limitation for individual investors will probably likely be 20 million baht (~$611,957). The information outlet further afield:
To prevent exploiting investment opportunities during public ICOs, the SEC plans to require all ICO issuers to distribute all digital tokens to every investor group at the same time after public ICOs end. Digital tokens receiving a discount or bonus will have a lock-up period of six months starting from the first day of digital token distribution.