Thai Deputy Prime Minister Calls for More Controls for Crypto

Thai Deputy Prime Minister Calls for More Controls for Cryptocurrencies

The Deputy Prime Minister of Thailand Wissanu Krea-ngam has called for more regulations on cryptocurrencies, local news daily the Bangkok Post reports Nov. 8.

While Thailand introduced a regulatory framework for cryptocurrencies earlier this year, Krea-ngam urged that new measures must be introduced both domestically and internationally so as to keep up with new strategies and threats to consumer safety.

Speaking at the Counter-Terrorism Financing Summit, Krea-ngam explained that experts should not be satisfied with present security protocols in order not to lag behind criminals that would use cryptocurrencies for financing terrorism or money laundering. He also noted the security challenges posed by the anonymous nature of some electronic resources.

“The laws have to be amended in the future in order that we can keep up with technological changes,” Krea-ngam said.

In addition to forming a clear legal framework for crypto business, Thailand has also permitted its fiscal institutions enter the business, albeit with some restrictions. In August, the Bank of Thailand (BoT) allowed local banks to establish subsidiaries for dealing with crypto business.

While Thai banks may issue digital tokens, provide crypto brokerage solutions, run crypto-related businesses, and invest in cryptocurrencies via subsidiaries, BoT reaffirmed that all banks and other financial institutions are still banned from direct coping with cryptocurrencies.

Thailand has also adopted the blockchain technology which underlies cryptocurrencies. In October, the Thai MInistry of Commerce started to conduct feasibility studies for blockchain installation in agriculture, trade finance and copyright. An official in Thailand’s Trade Policy and Strategy Office (TPSO), Pimchanok Vonkorpon said that the studies would also refer to processing digital IDs, IP registration management, and safety, together with smart contracts.

The Thai Revenue Department declared that it plans to monitor tax obligations using blockchain engineering and system learning. The Revenue Department’s director-general Ekniti Nitithanprapas stated that blockchain is going to be used to validate the validity of taxation paid and to hasten the tax refund process. He said that machine learning will provide more transparency to this process and allow the department to more effectively detect fraud.

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