Crypto Ads in Thailand Must Feature Clear Investment Warnings, New Regulations Require
Thailand has introduced tighter rules that will oblige crypto companies to duly inform potential customers of the investment risks on their advertisements. The new regulations also prohibit businesses in the industry from making misleading or exaggerated claims. Securities Watchdog Adopts Stricter Advertising Rules for Crypto Platforms in Thailand
Thailand’s Securities and Exchange Commission (SEC) has approved new requirements for crypto ads, Bloomberg and Reuters reported quoting the regulator. According to a statement released on Thursday, the changes come after the SEC found that some advertisements lacked any warnings about the risks associated with cryptocurrencies or featured only positive information.
Crypto firms in Thailand will now be obliged to clearly indicate the relevant risks for investors in their ads and the warnings must be easy to notice. They should present balanced views of the expected returns and mention both positive and negative factors. The advertisements must not feature misleading, exaggerated or false claims.
Thai crypto businesses, which have been advertising heavily through digital media and billboards, must now limit the promotion to official channels such as their own websites. They will also have to provide regulators with information about the advertising terms. The securities watchdog explained in the announcement: Operators must give details of ads and spending, including the use of influencers and bloggers to the SEC, including terms and time frame.
Companies working with crypto assets in Thailand will have 30 days to comply with the new regulations rolled out by the SEC this week. The tightening of the advertising rules follows a global market slump that affected many entities in the industry.
One example is Zipmex, a crypto exchange operating under a Thai license and in other jurisdictions. The coin trading platform and its regional parent, Zipmex Pte, halted withdrawals last month. In mid-August, the latter was granted three months of protection from creditors by a court in Singapore, where authorities consider stricter rules for retail crypto investors.
The SEC recently fined Zipmex 1.92 million baht (over $50,000) for suspending withdrawals. Penalties were imposed on other crypto companies, too. An executive from the Thailand-based cryptocurrency exchange Bitkub was fined 8.5 million baht (more than $230,000) for alleged insider trading. Tags in this story Ads, advertisements, Advertising, Crypto, crypto companies, Cryptocurrencies, Cryptocurrency, Fine, fines, Regulations, regulator, rules, SEC, Securities, thai, thailand, tightening, watchdog, Zipmex
Do you expect Thailand to tighten other crypto regulations as well? Tell us in the comments section below. Lubomir Tassev
Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration. President of Paraguay Mario Abdo Vetoes Cryptocurrency Bill REGULATION | 18 hours ago Congress Questions Coinbase, FTX, Binance, Kraken in Crypto Fraud Crackdown REGULATION | 22 hours ago
Image Credits: Shutterstock, Pixabay, Wiki Commons, Kollawat Somsri Previous articleLaunch of Finexia Crypto Collective Next articleLBank Exchange Will List Town Star (TOWN) on September 2, 2022 Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItRipple CEO: SEC Lawsuit Over XRP "Has Gone Exceedingly Well"
The CEO of Ripple Labs says that the lawsuit brought by the U.S. Securities and Exchange Commission (SEC) against him and his company over XRP "has gone exceedingly well." He stressed: "This case is important, not just for Ripple, it’s ... read more.UAE Airliner Emirates to Launch NFTs and Experiences in the Metaverse Survey: Adoption in Argentina Grows, With 12 out of 100 Adults Having Invested in Crypto Microbt Reveals Latest Bitcoin Mining Rigs — Machines Produce up to 126 TH/s With Custom 5nm Chip Design Ethereum Foundation"s Financial Report Discloses It Holds $1.6 Billion in Assets, 80.5% Held in Ether