The Bank of Thailand (BOT) asked “financial institutions not to get involved in cryptocurrency transactions for fear of possible problems from the unregulated trading,” Reuters translated.
Mr. Wisit Santiprabop, the central bank’s governor, signed the circular which outlines five key cryptocurrency activities banks are banned from:
Investing or trading in cryptocurrency, exchanging cryptocurrencies, creating platforms for cryptocurrency trading, allowing clients to use credit cards to buy cryptocurrencies, and from advising customers on cryptocurrency investing or trading.
According to Thai Central Bank, BoT is not an appropriate organization to regulate virtual currencies as they do not recognize them as a legal tender.
The securities watchdog Thai Securities and Exchange Commission (SEC) is seen as the most appropriate authority to oversee cryptocurrencies in Thailand.
The central bank said cryptocurrencies were not legal tender in Thailand and it was worried that they may be used in illegal activities such as money laundering or supporting terrorism.
Bitcoin thief Sergey Sergeyevich Medvedev, a Russian national and co-founder of Infraud, has been arrested in Bangkok on Feb. 13 by the Federal Bureau of Investigation (FBI).
At his time of arrest, the cybercrime expert had in his possession more than 100,000 Bitcoins. Infraud; a dark-web marketplace, was seized and taken offline by U.S authorities. The website was a one-stop-shop for cybercriminals.
Medvedev fled the country to Thailand six years ago but was arrested with the help of Thai authorities on Feb 2nd. Thailand’s Crime Suppression Division (CSD) raided Mr. Medvedev’s apartment with 30 officers and seized various documents and a laptop.
The Bangkok Post reported, “judging by the evidence obtained during the Feb 2 raid, he had more than 100,000 Bitcoin.” At the time of the arrest, the stolen Bitcoin would be worth around $900 million USD.
Ms. Prasanee Auiyamaphan, a Bangkok Bank Executive Assistant, was quoted by Voice TV saying that the bank has “no policy to provide [crypto] exchange services,” emphasizing that cryptocurrencies cannot be exchanged for cash at her bank.
Mr. Thana Thienachariya, Senior Executive VP and Chief Marketing Officer at Siam Commercial Bank said that its subsidiary, Digital Ventures Co. Ltd., has previously formed a strategic alliance with Ripple to offer a payment service between Japan and Thailand. He added that his bank will be discussing this issue with the central bank.
Mr. Thakorn Piyapan, Head of Krungsri Consumer Group and an executive of Digital Banking and Innovation at Bank of Ayudhya said, “although the bank will use the transfer service across the country through Ripple,” it is cooperating with the BOT and “does not provide any [cryptocurrency] services at all.”
BOT relaxes rules to Curb Strong Baht
the Bank of Thailand (BOT) decided to relax regulations to facilitate capital outflows to help promote capital flow balance and lessen pressure on the baht.
The Thai baht has been under pressure due to imbalanced capital flows in the current environment of highly uncertain and volatile external conditions, the Ministry of Finance (MOF) and the Bank of Thailand (BOT) decided to relax regulations to facilitate capital outflows to help promote capital flow balance and lessen pressure on the baht.(more…)
Bank of Thailand cuts rate by 0.25% to 1.25 per cent
The latest cut brings the Bot’s policy rate to an historical low, which the bank maintained from April 2009 to July 2010 during the subprime global financial crisis.
On 6 November 2019, the MPC voted 5 to 2 to reduce the policy rate by 0.25 percentage point from 1.50 to 1.25 percent, effective immediately. Two members voted to maintain the policy rate at 1.50 percent.(more…)
Thailand’s loss of trade privileges with US is credit negative
The development is credit negative because Thailand’s export-oriented economy is in a difficult external environment given that a broad-based export slowdown and strong Thai baht are weakening the competitiveness of goods exporters and the country’s tourism industry.
Thailand among top five countries for salary hikes
Thailand is among the top five economies in the world to see real salary increases and is likely to see...
Thailand Ecommerce Market: Shooting For Success
At present, the Thai ecommerce market is valued at USD 3.5 billion. According to a Google Temasek study, Thailand’s e-commerce...
Aspire Set to Become First SME Neobank in Southeast Asia with US$32.5 Million Raise
The recent financing has been led by Mass-Mutual Ventures Southeast Asia with participation from Silicon Valley’s Arc Labs and existing...