Thailand’s former finance minister has joined the growing chorus of supporters of proposals that the SEC should comprise the regulator for all forms of digital assets. Mr. Korn stated that of Thailand’s public institutions, the SEC is most equipped with the appropriate experience and knowledge of the industry requisite to regulating the nation’s cryptocurrency sector.
“I agree with the Finance Ministry’s [view] of letting the SEC be the only organization governing digital assets, because it already oversees securities and has a profound understanding of digital assets,” Mr. Korn said.
The TFA chairman also stated that Thailand’s Fintech Association has consulted with the SEC, Finance Ministry, and the Bank of Thailand, advocating for the development of clear legislation designed to reduce the risks associated with cryptocurrency investment.
Former Finance Industry Speaks in Favor of ICOs
Former Thai Finance Minister Supports Proposals for an SEC-Regulated Cryptocurrency SectorMr. Korn discussed the need for greater regulatory clarity in order to increase awareness and confidence in virtual currencies, stating “Digital assets are new for everyone, and no one knows everything [about them], so all parties should be open-minded, learn about them and have proper rules and regulations.”
Mr. Korn also emphasized the benefits that initial coin offerings (ICOs) can offer smaller businesses seeking to raise funds, advocating that regulators seek to avoid stifling the burgeoning ICO industry.
SEC Authority Over Crypto Industry Expected to Be Formalized Soon
Following the completion of the January public hearings on the SEC’s proposed regulatory framework for ICOs, many Thai investors are expecting Thailand’s regulator to adopt an “investment participation” track that would see ICOs required to be executed through a portal – requiring that ICOs originate in Thailand and possess a minimum registered capital of up to 5 million baht (approximately $160,000 USD) – in addition to the imposition on limits participation from retail investors.
On Wednesday, the Thai deputy prime minister Wissanu Krea-Ngam, the Finance Minister Apisak Tantivorawong, and representatives from a number of pertinent agencies agreed that the SEC should be empowered via royal decree to regulate the virtual currency sector. The SEC’s board of directors are expected to hold a meeting in which all details relating to the SEC’s new regulatory jurisdiction be discussed soon after the enactment of the decree.
Veerathai Santiprabhob, the governor of the Bank of Thailand, stated that the meeting concluded with agreement regarding the need to enact a comprehensive regulatory apparatus governing the Thai digital currency sector.